MONROEVILLE, Pa. Three Rivers Bancorp announced Thursday that it has agreed to buy $145 million-asset Pennsylvania Capital Bank of Pittsburgh for about $20 million.
When $950 million-asset Three Rivers spun off from US Bancorp in July 1999, Terry Dunkle, its chairman and chief executive officer, said it would concentrate on expanding in Pittsburgh and its surrounding area. This deal, scheduled to close in the third quarter, is the companys first since the spinoff.
Pennsylvania Capital shareholders would receive 10% in cash and 90% in stock, with each share equaling 4.61 shares of Three Rivers. The deal would be worth 1.75 times Pennsylvania Capitals book value.
Pennsylvania Capital chairman Charles A. Warden and vice chairman Gerald B. Hindy would be directors and executive committee members of the company and of Three Rivers Bank.