City Holding Company completes acquisitions bolstering Kentucky presence
CHARLESTON — City Holding Company (“City”) (Nasdaq: CHCO), the parent company of City National Bank of West Virginia, announced today that it has completed its acquisitions of Poage Bankshares, Inc., (“Poage”) (Nasdaq: PBSK), the parent company of Town Square Bank, Ashland, Kentucky, and Farmers Deposit Bancorp, Inc. (“Farmers Deposit”), the parent company of Farmers Deposit Bank, Cynthiana, Kentucky.
Both acquisitions became effective as of the close of business on Dec. 7. The acquisition of Poage was structured as a stock transaction valued at approximately $84.7 million, or $24.22 per share of Poage common stock.
The acquisition of Farmers Deposit was structured as a cash transaction valued at $24.9 million, or $1,174.14 per share of Farmers Deposit common stock. City, Poage and Farmers Deposit first announced that they had entered into separate agreements to merge on July 11.
The acquisition of Poage included the merger of Town Square Bank into City National Bank of West Virginia, and the acquisition of Farmers Deposit included the merger of Farmers Deposit Bank into City National Bank of West Virginia.
Based upon financial data as of Sept. 30, the combined company will have $5.0 billion in assets, deposits of $3.9 billion, and gross loans of $3.5 billion, bolstering City’s presence in the Huntington-Ashland and Lexington, Kentucky MSAs.
Keefe, Bruyette & Woods, Inc. served as financial advisor and Dinsmore & Shohl LLP served as legal counsel to City in both transactions. Sandler O’Neill & Partners, L.P. served as financial advisor and Luse Gorman, PC served as legal counsel to Poage in the Poage transaction.
ProBank Austin served as financial advisor and Stites & Harbison, PLLC served as legal counsel to Farmers Deposit in the Farmers Deposit transaction.