Two Rivers Financial Group to acquire Iowa-based Lee County Bank

Burlington, Iowa-based Two Rivers Financial Group Inc. agreed to acquire Fort Madison, Iowa-based Lee County Bank from Lee Capital Corp.

Financial terms of the transaction were not disclosed in the news release. The deal is expected to close at the end of the third quarter.

S&P Global Market Intelligence valuations for bank and thrift targets in the Midwest region between June 21, 2021, and June 21, 2022, averaged 145.42% of book and 147.10% of tangible book and had a median of 14.11x last-12-months earnings, on an aggregate basis.

Based on Market Intelligence data, with the completion of the deal, Two Rivers Financial Group will expand in Lee County, Iowa, by three branches to be ranked third with a 23.3% share of about $1.15 billion in total market deposits.

Lee County Bank will operate as a wholly owned subsidiary of Two Rivers Financial Group. Shane Zimmerman will be CEO of Lee County Bank, and Michael Culbertson will be president.

As of March 31, Two Rivers Financial Group had $983.5 million in assets, while Lee County Bank had assets of $239.1 million, according to Market Intelligence data.

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