PeoplesBank, Cornerstone Bank Complete Merger of Holding Companies

HOLYOKE — PeoplesBank and Cornerstone Bank announced they have completed the merger of their holding companies and will now operate under PeoplesBancorp, MHC, as of Jan. 31. The holding company will have more than $6 billion in assets. However, PeoplesBank and Cornerstone Bank will continue to operate independently under their own names and brands, and there will be no changes from a customer perspective.

Both banks are adding new branches. Cornerstone Bank added a new branch in 2024 and expects to add another in the second quarter of 2025. PeoplesBank is opening two new banking centers in January and February.

“The banking industry is shrinking while becoming more competitive, and asset size matters for scalability,” said Tom Senecal, chairman and CEO of PeoplesBank. “This new relationship means that, with our mutual charter, we will realize a new ability to efficiently compete, as well as attract and retain the highest-quality associates, while also continuing to invest in our communities.”

With the completion of the merger, Senecal remains chairman and CEO, Cornerstone Bank CEO Todd Tallman has become president, and Brian Canina has become chief operating officer of PeoplesBancorp, MHC, and will remain president of PeoplesBank.

“This merger was always about the people — not only our employees, but also the community,” Tallman said. “It provides an immense opportunity to invest in people, communities, technology, and, of course, growth.”

Both institutions benefit from the combined financial strength of two strong community banks coming together to create one of the largest mutual, multi-bank holding companies in the Northeast. PeoplesBank, serving Western Mass. and Northern Conn., and Cornerstone Bank, serving Central Mass., will each continue their normal operations with no disruption to customers. Both banks’ account information, branch banking, and digital access remain the same.