Easthampton Savings Bank to Acquire Citizens National Bank
EASTHAMPTON — Easthampton Savings Bank, the wholly-owned subsidiary of ESB Bancorp Inc., announced that ESB Bancorp has signed a definitive merger agreement with Citizens National Bancorp Inc., under which ESB Bancorp will acquire Citizens National Bancorp in a transaction valued at approximately $51.3 million.
Citizens National Bancorp is the holding company for the Citizens National Bank, a $333 million bank located in Putnam, Conn. Following completion of the merger of ESB Bancorp and Citizens National Bancorp, the Citizens National Bank will merge with and into Easthampton Savings Bank.
The transaction will expand Easthampton Savings Bank’s market presence into the Northeast Conn. and Central Mass. markets. Following completion of the transaction, ESB Bancorp will have consolidated assets of more than $1.3 billion and a branch network of 15 full-service offices. The transaction is expected to be accretive to ESB Bancorp’s earnings in the first year of combined operations. Easthampton Savings Bank will continue to be well-capitalized under applicable regulatory requirements following completion of the transaction.
Matthew Sosik, president and CEO of Easthampton Savings Bank, stated, “we are very pleased to announce our acquisition of Citizens National Bank and to welcome the Citizens employees and customers into the ESB family. We are very familiar with Citizen’s market area, and we are excited to grow through an expansion into the Northeast Connecticut and Central Massachusetts markets. Given Citizens’ excellent reputation and franchise value in their market area, we expect to operate Citizens’ five branches under the Citizens trade name after the transaction is completed. That structure will allow us to remain acutely attentive to our existing customers and communities in the Pioneer Valley, while allowing us to expand and further develop Citizens’ market share.”
Added David Conrad, president and CEO of the Citizens National Bank, “we believe this truly excellent opportunity to join ESB, a top-performing mutual bank, will serve our customers, employees, and communities very well.”
The merger is subject to certain conditions, including the approval of the holders of at least a majority of the shares of Citizens National Bancorp and receipt of customary regulatory approvals. The merger is expected to be completed early in the third quarter of 2015.