Investment Banking - Home City Financial Corporation

Transactions | Banking

Client: Home City Financial Corporation
Industry: Banking
Transaction Type: Mergers & Acquisitions
Role: Sell-Side Advisor

Richwood Bancshares, Inc. Has Acquired Home City Financial Corporation

  • Home City Financial Corporation, (OTC Pink: HCFL) is a unitary savings and loan holding company headquartered in Springfield, Ohio.  Home City Federal Savings Bank of Springfield was founded in 1925 and operates two full-service community banking centers in Clark County, Ohio.  Home City Financial Corporation had approximately $167.5 million in assets, $145.2 million in loans, $118.6 million of deposits and $19.7 million in common equity as of March 31, 2018.
  • Richwood Bancshares, Inc. is a financial holding company headquartered in Richwood, Ohio, and is the parent of Richwood Banking Company, which operates six full-service bank branches in four Ohio counties and has served central Ohio for over 150 years.  Richwood Bancshares, Inc. had approximately $517.8 million in assets, $305.8 million in loans, $465.6 million in deposits and $51.6 million in common equity as of March 31, 2018.
  • Home City shareholders will receive $37.32 per share in cash for each outstanding share of Home City common stock, representing 155.0% of Home City’s March 31, 2018 tangible book value.  Aggregate consideration is approximately $31.7 million.  Unexercised stock options of Home City will be cashed out at the spread between the option price of each share and the offer price.  Home City has 818,318 shares of common stock as well as 42,800 options with a weighted average strike price of $10.45.
  • The transaction closed December 2018.
  • Boenning is served as financial advisor and has issued a fairness opinion to Home City Financial Corporation.