Rurban Financial Corp. of Defiance, Ohio, has agreed to buy Exchange Bancshares Inc. of Luckey, Ohio, for $12.9 million in cash and stock.
Shareholders of the $91 million-asset Exchange who hold 100 shares or fewer would receive all cash, while those with more than 100 shares can chose to take cash, Rurban shares, or a combination of cash and stock. The deal was announced late Wednesday and is expected to close by yearend.
The seller’s Exchange Bank subsidiary has been in operation for 99 years. According to Federal Deposit Insurance Corp. statistics, the company lost $407,000 in 2004. Its branches are in northwest Ohio and in the suburbs of Toledo. Exchange is to be a subsidiary of the $392 million-asset Rurban.
The acquisition would be Rurban’s entry into the Toledo metropolitan market and would build on its northwest Ohio business, the company said in a press release.
