First Community Financial Partners in Joliet, Ill., has agreed to buy First Mazon Bancorp in Mazon, Ill.
The $1 billion-asset First Community said in a press release Monday that it will pay $8.5 million for the $85 million-asset parent of Mazon State Bank. The deal is expected to close in the third quarter.
First Mazon has three branches in the Illinois communities of Mazon, Braidwood and Diamond, along with $33 million in loans and $74 million in deposits.
“This combination will further enhance our position as the largest community bank headquartered in Will County and gives us our first location in Grundy County, allowing us to better serve our existing clients who are based there,” Roy Thygesen, First Community’s chief executive, said in the release.
First Community said it expects to earn back any dilution to its tangible book value in less than a year. The company also said it expects “modest accretion” to its earnings per share.
First Community was advised by Hovde Group and Howard & Howard. First Mazon was advised by Barack Ferrazzano.