Two community banks have scored deals for niche investment businesses in their home states.
MainSource Bank in Greensburg, Ind., has agreed to buy the assets managed by Krumme and Brock Investment Services in Seymour, Ind. The employees of the Krumme firm, including owners Galen Krumme and Cliff Brock, would join MainSource Bank's wealth management division.
MainSource recently expanded into the Seymour market, and the deal would broaden its products and services, Daryl R. Tressler, the president and chief executive of MainSource, said in a news release Thursday.
Both Krumme and MainSource Investment Services offer securities through Raymond James Financial Services. MainSource is a unit of the $2.7 billion-asset MainSource Financial Group (MSFG).
Separately, Oregon Pacific Bank in Florence said Thursday that it had acquired the trust and wealth management division from South Valley Bank & Trust in Klamath Falls, Ore. Oregon Pacific will house the unit in its fiduciary services organization.
The $13.5 billion-asset Washington Federal (WAFD) in Seattle is buying the $855 million-asset South Valley Bank.
Diane Dombras, the former South Valley executive responsible for the bank's trust department, will join Oregon Pacific as manager of its trust and wealth management in the Medford office.
Oregon Pacific's parent, the $168 million-asset Oregon Pacific Bancorp, recently raised almost $2.4 million through a private placement of common stock to increase its lending to businesses and individuals.
The financial terms of both agreements were not disclosed.
As traditional bank M&A has remained slow, some banks have turned to acquiring niche businesses as a way to grow revenues. Several community banks, including PacWest Bancorp (PACW) in Los Angeles and Bryn Mawr Bank Corp. (BMTC) in Pennsylvania, have made deals for equipment-leasing firms and wealth management companies.