Flock Specialty Finance, a financing company for middle market debt buyers and collection agencies, announces the recapitalization of Velocity Portfolio Group Inc., a debt buyer based in Wall, N.J.

CenterState Banks (CSFL) in Davenport, Fla., plans to close 13% of its branches and fire 57 employees.

The Federal Deposit Insurance Corp. filed a lawsuit Friday in U.S. District Court in Colorado against nine former executives and directors at United Western Bank, which failed in 2011.

Renasant (RNST) in Tupelo, Miss., posted a big increase in quarterly profit following its recent purchase of First M&F.

U.S. Bancorp (US) reported fourth-quarter profit that beat analysts' estimates as the bank set aside less money for credit losses.

TriCo Bancshares (TCBK) in Chico, Calif., has agreed to buy North Valley Bancorp (NOVB) in Redding, Calif.

Wintrust Financial (WTFC) in Rosemont, Ill., recorded higher fourth-quarter earnings because of an increase in net interest income and a lower loan-loss provision.

The $2.1 billion-asset People will pay $12.6 million in cash and stock for the $91 million-asset Midwest in a transaction that is expected to close by mid-2014. Midwest also has $61 million in loans and $79 million in deposits.

FNB Corp. (FNB) in Hermitage, Pa., posted slightly lower earnings in the fourth quarter as its acquisitions of Annapolis Bancorp (ANNB) and PVF Capital (PVC) boosted expenses.

Community bank ConnectOne is selling itself to Center Bancorp of New Jersey, in a $243 million deal that the companies are calling a merger of equals. ConnectOne Chief Executive Frank Sorrentino, who will run the combined bank as Chairman and CEO, tells American Banker about the reasoning behind the deal's unusual structure and discusses his plans for the merged company's expansion in New Jersey and the New York area.

ConnectOne is a busy lender but light on deposits, while Center Bancorp has a low loan-to-deposit ratio. The combined company will stand a better chance at organic loan growth in the future. More deals like it are coming as banks look to a more robust lending environment in the next few years.

A breakdown of M&A announcements in the financial services industry for the week ended Jan. 18.

Charmian Uy, the U.S. Treasury's chief investment officer for the Trouble Asset Relief Program, details the government's strategy to exit a program that she believes "will be judged favorably over time."

Third Point LLC, the hedge-fund firm led by billionaire Daniel Loeb, has become one of Ally Financial Inc.'s largest shareholders as the U.S. government reduces its stake in the company.

Center Bancorp (CNBC) in Union, N.J., has agreed to buy ConnectOne Bancorp (CNOB) in Englewood Cliffs, N.J.

The U.S. Department of the Treasury, Bureau of the Fiscal Service (BFS) has recognized Continental Service Group Inc., d.b.a. ConServe, as the top performing collection team for the last three months of 2013.

On Friday the Office of the Comptroller of the Currency closed the $61.7 million-asset DuPage National Bank in West Chicago, Ill. Its failure is expected to cost the Deposit Insurance Fund $1.6 million.

Old Second Bancorp (OSBC) in Aurora, Ill., is set to begin a stock offering that could help it dig out of a deep capital hole.

The Buffalo, N.Y., company still has some goodwill from analysts based on its reputation as a skilled bank buyer, but it has become the poster child for the risks associated with M&A in a tough regulatory environment.

Bank of the Ozarks (OZRK) in Little Rock, Ark., got an earnings boost ahead of its acquisition of a Houston bank.