Illinois-based Murphy-Wall State Bank to buy in-state peer Oakdale State Bank

In-state peers Murphy-Wall State Bank and Trust Co. and Oakdale State Bank in Illinois agreed to merge in a deal signed June 4, according to a June 10 press release.

Under the planned merger, the 150-year-old subsidiary of Murphy-Wall Bancorp Inc. will acquire Oakdale State Bank, a fellow Illinois community bank and a fixture in Oakdale since 1920.

With the acquisition, Murphy-Wall expects to serve a new market and offer new products and services to Oakdale State Bank customers, according to the release.

Financial terms of the deal were not disclosed.

As of March 31, Murphy-Wall State Bank had total assets of $179.3 million and total loans of $111.6 million, while Oakdale State Bank had $25.1 million in total assets and $14.1 million in total loans, according to S&P Global Market Intelligence data.

S&P Global Market Intelligence valuations for bank and thrift targets in the Midwest region between June 4, 2023, and June 4, 2024, averaged 119.08% of book and 119.82% of tangible book and had a median of 20.33x last-12-months earnings, on an aggregate basis.

Murphy-Wall Bancorp will enter Washington County, Ill., with one branch to be ranked seventh with a 4.21% share of approximately $562.49 million in total market deposits, according to Market Intelligence data.

Subject to regulatory approvals and certain closing conditions, the deal is expected to close during winter 2024.

Barack Ferrazzano Kirschbaum & Nagelberg LLP acted as legal counsel to Murphy-Wall. Brown Hay & Stephens LLP acted as legal counsel to Oakdale State Bank.

To use S&P Capital IQ Pro's branch analytics tools to compare market overlap, click here. To create custom maps, click here.