Mid Penn Bancorp Inc. and First Priority Financial Corp. said last week they have received all required approvals from regulatory agencies to complete their proposed merger.
Pending receipt of approval from shareholders of Mid Penn and First Priority, Mid Penn intends to close the transaction in the third quarter of this year, Mid Penn said in a news release.
Following completion of the merger, First Priority Bank will be merged with and into Mid Penn Bank and will operate as First Priority Bank, a division of Mid Penn Bank.
“We believe our partnership will provide an attractive set of products and services to customers and a meaningful financial return to shareholders,” president and CEO of Mid Penn, Rory G. Ritrievi, said in a statement.
The merger will expand Mid Penn’s footprint into southeastern Pennsylvania, including Chester, Berks, Montgomery and Bucks counties. Mid Penn, following completion of the merger, will have over $2 billion in assets.
Headquartered in Millersburg, Mid Penn currently has assets of approximately $1.4 billion and 29 branches in Cumberland, Dauphin, Fayette, Lancaster, Luzerne, Northumberland, Schuylkill and Westmoreland counties.
According to its most recent earnings report, Mid Penn had net income of $1 million in the first quarter of 2018. That is down from $2 million in its first quarter of 2017. Results included nearly $1.7 million in expenses stemming from the bank’s acquisition of The Scottdale Bank & Trust Co., which closed in January, and the pending merger with First Priority.
First Priority is headquartered in Malvern and has approximately $615 million in assets. The bank has seven locations in Chester, Berks, Montgomery and Bucks counties. According to its most recent earnings report, First Priority had net income of $762,000 in the first quarter of 2018, down from $782,000 in the first quarter of 2017.