Converse-based First Farmers Financial Corp. said this morning it has agreed to acquire CB Bank Shares Inc. in Russiaville.
CB Bank Shares is the holding company for Central Bank, which will be absorbed by a First Farmers Financial subsidiary
called First Farmers Bank & Trust.
Financial terms of the transaction were not disclosed. The banks expect
the deal to close at the end of the year or in early 2010.
The purchase of Central Bank gives First Farmers 20
branches in Indiana and more than $730 million in assets. It also makes First Farmers the largest privately held deposit holder
in Howard County, with $165 million at five branches.
Central Bank currently operates two bank locations in Russiaville
and Kokomo that have assets of $55 million.
"Our banking philosophy
and commitment to community banking in central Indiana fits perfectly with those of Central Bank," said Gene Miles, president
and CEO of First Farmers, in a prepared statement. "We feel that our combined staffs will be in an excellent position
to provide comprehensive financial services to clients in the heart of our branch network."
Mike Renninger of Carmel-based Renninger & Associates LLC advised First Farmers on the acquisition.
was founded in 1885 and Central Bank in 1947.