Integra Bank Corp. has sold two Kentucky branches and more than $40 million in loans to Cecilian Bank as part of a plan to boost capital and reduce nonperforming assets.
The Evansville, Ind., parent company of Integra Bank N.A. announced Friday that it closed the sale of branches in Leitchfield and Hardinsburg, Ky., and $85.9 million in deposits and loans.
Integra, with $2.9 billion of assets, said the deal increased its Tier 1 and total risk-based capital ratios by about 27 basis points. The bank was well capitalized with a 6.71% Tier 1 capital ratio and adequately capitalized with an 8% total risk-based capital ratio as of March 31, according to the Federal Deposit Insurance Corp.
Cecilian Bank, a subsidiary of First Cecilian Bancorp Inc. of Cecilia, Ky., assumed about $45 million in deposits and $12.7 million in loans from the branches. The $417.9 million-asset bank also picked up $28.2 million in commercial real estate loans originated at other Integra offices.
On June 4 Integra closed the sale of three branches in Indiana to United Community Bank of Lawrenceburg, part of its goal to close five branch deals this year.