Greensfork Township State Bank, a two-branch bank in rural Lynn, Ind., is moving into the state's largest market with a deal to acquire the $57 million-asset Symphony Bank in Indianapolis.
The Indianapolis Business Journal reported that the $158 million-asset Greensfork is to pay about $2.55 per share, or $3.9 million, for Symphony. The price per share is roughly 75% below what investors paid to capitalize Symphony when it was founded three years ago, the paper reported on Nov. 22.
The deal is expected to close in early 2009.
Symphony has yet to turn a profit. Through the first nine months of this year it lost $1.4 million, according to Federal Deposit Insurance Corp. data. At Sept. 30, nearly 6.6% of its loans were past due.