Horizon Bancorp in Michigan City, Ind., has agreed to buy Peoples Bancorp in Auburn, Ind.
The $2.1 billion-asset Horizon will pay $73.1 million in cash and stock for the $487 million-asset Peoples. The transaction is expected to be completed in the third quarter.
"We are enthusiastic about this merger, which is consistent with Horizon's philosophy of partnering with banks that hold core values similar to ours and a commitment to serving their local communities," Craig Dwight, Horizon's chief executive, said in a press release Thursday. Peoples "was founded with the goal of helping people purchase the home of their dreams, which complements Horizon's robust retail mortgage business.... In addition, Peoples' agricultural, business banking and wealth management services align well with Horizon's primary revenue streams.
The move also allows Horizon to enter northeast Indiana, Dwight said.
Horizon Bancorp was advised by Cummings & Co. and Barack Ferrazzano Kirschbaum & Nagelberg. Peoples was advised by Keefe, Bruyette & Woods and Barnes & Thornburg.