Pinnacle Bancorp in Central City, Neb., has agreed to buy Home State Bank in Louisville, Neb.
The financial terms of the deal were not announced. The transaction is expected to close in January.
The acquisition would expand the $7.7 billion-asset Pinnacle's presence in the outskirts of Omaha, Neb., where the $82 million-asset Home State has a branch.
Home State provides a "nice addition on the southern side" of Omaha, Marc Hock, Pinnacle Bank's president, said in an interview Friday, describing the city's southern suburbs as the bank's "next phase of development."
Pinnacle has 13 branches around Omaha. In total, it has more than 130 branches in the Southwest and Great Plains states.
Home State Bank, which was established in 1915, has been owned by the same family for about 100 years, said David Pankonin, the bank's president, noting that his grandfather and great-grandfather were among the founders.
Pankonin said that Home State's aging leadership, along with a growing regulatory burden, played into the bank's decision to sell.
"We didn't have any successors in the next generation," Pankonin said in an interview. "We just tried to be proactive. You're going to see that more and more."