Massachusetts-based PeoplesBancorp MHC, SSB Community Bancorp MHC to merge

Holyoke, Mass.-based PeoplesBancorp MHC and Worcester, Mass.-based SSB Community Bancorp MHC will merge in a transaction expected to close in the first quarter of 2025.

PeoplesBancorp is the holding company of PeoplesBank and SSB Community Bancorp is the holding company of Cornerstone Bank. The banks will continue to operate under separate names and brands for the foreseeable future.

After the completion of the merger, the new consolidated holding company for PeoplesBank and Cornerstone Bank will be PeoplesBancorp MHC, with about $6 billion in assets.

Thomas Senecal will remain CEO and chairman and Todd Tallman will become president of the combined mutual holding company. Brian Canina will serve as the COO of the holding company and will remain president of PeoplesBank.

S&P Global Market Intelligence valuations for bank and thrift targets in the Northeast region between June 20, 2023, and June 20, 2024, averaged 100.03% of book and 115.74% of tangible book and had a median of 11.59x last-12-months earnings, on an aggregate basis.

Upon completion of the deal, the combined company will operate 11 branches in Worcester County, Mass., to be ranked sixth with a 5.39% share of about $23 billion in total market deposits; 13 branches in Hampden County, Mass., to be ranked first with a 16.96% share of about $13.39 billion in total market deposits; and three branches in Hampshire County, Mass., to be ranked fourth with an 8.74% share of about $6.16 billion in total market deposits, according to Market Intelligence data.

Piper Sandler & Co. served as the financial adviser on this transaction. Luse Gorman PC served as legal counsel to PeoplesBancorp MHC and Nutter McClennen & Fish LLP served as legal counsel to SSB Community Bancorp MHC.

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