Republic Bancorp (RBCCA) of Louisville, Ky., announced Monday the merger of two of its subsidiaries: Republic Bank, a federally chartered savings association, and Republic Bank & Trust Co., a state-chartered commercial bank.
Republic said in a news release Monday that the merger, which took place on May 9, will improve overall efficiency while expand access to services and branch operations for its customers across the Southeast and Midwest. The $3.5 billion-asset-combined bank will operate 42 offices across Kentucky, Indiana, Tennessee, Florida and Ohio.
"Now, no matter where you are, when you see a Republic banking center, your banking needs can be easily handled," said Steve Trager, Republic's chairman and chief executive officer, in a press release.
Like many banking companies, Republic is looking to reduce overhead to help better cope with stagnant revenue growth. Its net income from core operations fell 34% in the first quarter, to $5.4 million, due largely to a sharp drop in demand for mortgage loans.
The combined bank will continue to be overseen by the Federal Deposit Insurance Corp. and the Kentucky Department of Financial Institutions.