First Farmers Financial Corp. agreed late Wednesday to acquire First Citizens of Paris Inc.

First Farmers, based in Converse, Ind., will pay First Citizens' shareholders cash equal to 101% of the seller's adjusted book value at the acquisition's effective date. First Citizens' net book value stood at $16.7 million at Sept. 30, valuing the deal at about $16.8 million. The deal is expected to close in the first half of next year.

First Citizens, which is based in Paris, Ill., has four branches and $205 million in assets. First Farmers has $875 million in assets, along with 20 branches.

"This agreement represents a cooperative effort to bring two outstanding community banks together in a very progressive way," said Gene Miles, First Farmers' president and CEO, in a press release. "We are especially excited to expand on First Citizens' agricultural customer base given our organizations historic strengths in the industry."

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