AnchorBank in Madison, Wis., has agreed to sell its Richland Center retail branch to The Peoples Community Bank.
The deal is expected to be completed by yearend. The price was not disclosed. Peoples, based in Mazomanie, would assume $19 million in deposits.
The $2.1 billion-asset AnchorBank has been undergoing change. Its parent company, Anchor BanCorp Wisconsin, filed for a Chapter 11 restructuring last year to recapitalize itself after several years of credit issues. The Federal Reserve lifted a cease-and-desist order on the parent company in August, four months after the Office of the Comptroller of the Currency lifted a cease-and-desist order on the bank unit. Anchor BanCorp filed for an $8.3 million initial public offering in October.
"It made sense to pursue the [branch] sale following the recapitalization of AnchorBank," Chris Bauer, the chief executive of Anchor BanCorp, said in a news release late last week.
Meanwhile, Peoples has a growing loan office in Richland Center and "needed a full-service location in which to more effectively serve the needs of our customers," Gary Harrop, president of the $245 million-asset Peoples, said in the release.