Three weeks after completing an acquisition for one small Pennsylvania bank, S&T Bancorp in Indiana, Pa., has struck a deal for another.
The $4.3 billion-asset company announced Friday that it is buying Gateway Bank of Pennsylvania for $22 million in cash and stock. The in-market deal would boost S&T's assets by about $120 million and give company two more branches in the Pittsburgh suburbs.
Todd Brice, S&T's president and chief executive, said in a news release that his company was attracted to Gateway for its strong emphasis on commercial lending. Commercial and industrial and owner-occupied commercial real estate loans account for more than half of Gateway's $100 million loan portfolio and as of Dec. 31 it had no loans that were past due, according to Federal Deposit Insurance Corp. data.
"With our expanded product mix and larger balance sheet, we are confident we can build on Gateway's solid results," Brice said.
In early March, S&T acquired the $235 million-asset Mainline Bancorp in Ebensburg, Pa., adding eight branches in western Pennsylvania. Its deal for the eight-year-old Gateway is expected to close in the third quarter.