York, Neb.-based Cornerstone Bank agreed to acquire Murray, Neb.-based and unit , according toa press release posted on Cornerstone Bank's website.
The financial terms of the deal were not disclosed in therelease. However, SNL data shows that offers for bankand thrift targets in the Midwest between Sept. 28, 2015, and Sept. 28, 2016,averaged 130.99% of book value, 134.52% of tangible book and had a median of18.24x last-12-month earnings, on an aggregate basis.
The deal requires regulatory approval and is expected toclose in the fourth quarter. It will seeCornerstone's parent, First YorkBan Corp., enter Cass County, Neb., with one branch and be rankedfourth with a 9.67% share of approximately $381.70 million in total marketdeposits.
Murray State Bank President and CEO Larry Swedlund willretire upon deal completion. Cornerstone Bank Chairman Kelly Holthus said thatno staff changes are expected.
The release said that, as of June 30, Murray State Bank hadtotal assets of $47 million, with total deposits of $40 million and total loansof $27 million, while Cornerstone Bank had total assets of $1.5 billion.
Cornerstone Bank still has a pending for the assets of Hildreth,Neb.-based State Bank ofHildreth, a unit of Hildreth State Co. Inc.