Skowhegan Savings has agreed to buy five branches from fellow Maine lender Camden National Corp. (CAC)
Skowhegan will acquire $86.9 million of deposits, $43.7 million of loans and $600,000 of real estate and equipment, paying a premium of 3.5% for deposits and paying par value for the loans and book value for the real estate, it said Wednesday. The deal is subject to regulatory approval and is expected to close in the fourth quarter.
The $464 million-asset Skowhegan will have 14 branches following the transaction. Camden National, with $2.5 billion of assets, will have 45 branches. Camden had previously announced that two of the five branches to be sold would close in June.
The five branches Skowhegan is buying are in Farmington, Kingfield, Phillips, Rangeley and Stratton, Maine.
"The purchase of the five branches will offer our customers additional banking locations and solidifies our presence in western Maine," Skowhegan's president and chief executive, John Witherspoon, said in a news release.