Investment Banking - Peoples Bancorp of Mt. Pleasant, Inc.

Transactions | Banking

Client: Peoples Bancorp of Mt. Pleasant, Inc.
Industry: Banking
Transaction Type: Mergers & Acquisitions
Role: Sell-Side Advisor

Consumers Bancorp and Peoples Bancorp of Mt. Pleasant, Inc. to Merge

  • Peoples Bancorp of Mt. Pleasant, Inc. (“Peoples”) is a bank holding company with approximately $79.2 million in assets, $52.5 million in loans, and $70.4 million in deposits.  Its subsidiary, The Peoples National Bank of Mt. Pleasant, was founded in 1903 and operates three branches in Mt. Pleasant, Dillonvale and Adena, Ohio.
  • Consumers Bancorp, Inc. (OTCQX: CBKM) (“Consumers”) is the bank holding company for Consumers National Bank.  Consumers National Bank operates 15 full-service locations and one loan production office in Carroll, Columbiana, Jefferson, Stark, Summit and Wayne counties in Ohio. As of March 31, 2019, Consumers had assets of approximately $528.4 million in assets, $347.5 million in loans, and $459.3 million in deposits.
  • Under the terms of the merger agreement, Peoples shareholders will have the right to receive for each share of Peoples common stock, at the election of each shareholder, and subject to proration, (i) $1,200.00 in cash, or (ii) 63.16 shares of Consumers common stock, or (iii) mixed consideration of cash and Consumers common stock.  The proration procedures are designed to result in 50% of Peoples shares being exchanged for cash and 50% for Consumers stock.  Based on Consumers’ 20 day average closing price of $19.07 on June 13, 2019, the aggregate implied transaction value is approximately $10.3 million.
  • The transaction is expected to close in the fourth quarter of 2019.
  • Boenning is serving as financial advisor and rendered a fairness opinion to Peoples.