Sheyenne Bancorp Inc. is applying for bank holding company status from the Federal Reserve to buy out a bank in North Dakota.

Sheyenne would become a subsidiary of First Holding Company of Park River Inc., which filed the application with the Federal Reserve June 22. First Holding, of Park River, N.D., is asking regulators to establish Sheyenne in order to buy all of the voting shares of First Sharon Holding Co. Inc. in Aneta, N.D.

The deal also would include First Sharon's banking subsidiary, First State Bank of Sharon in Sharon, N.D.

First State Bank had assets of $41.8 million and four offices on March 31, according to the Federal Deposit Insurance Corp.

First State Bank of Sharon exceeded the criteria to be considered well capitalized, with a total risk-based capital ratio of 16.3% as of March 31, according to the FDIC. The bank had hardly any problem loans; 0.62% of its total assets were classified as nonperforming or other real estate owned.

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