F.N.B. Corp. (FNB) in Hermitage, Pa., will enter Cleveland after agreeing to buy PVF Capital (PVFC).
F.N.B. will pay roughly $106 million, or $3.98 a share, in stock for the Solon, Ohio, company. PVF has $782 million in assets, $634 million in deposits, $600 million in gross loans and 16 branches. F.N.B. expects to complete the acquisition in the third quarter.
"We are excited to expand our presence in the Cleveland market," Vincent Delie Jr., F.N.B.'s president and chief executive, said in a press release Tuesday. "Cleveland's close proximity to FNB's existing footprint and the opportunities the market offers make this transaction very attractive."
The $12 billion-asset F.N.B. expects the acquisition to immediately add to its earnings per share, excluding merger-related expenses. The deal is also expected to be accretive to the buyer's tangible book value per share.
Keefe, Bruyette & Woods was F.N.B.'s financial advisor; Reed Smith was its legal counsel. Sandler O'Neill was PVF's financial advisor, while Vorys, Sater, Seymour and Pease was the legal counsel.