CITBA Calls Off Merger

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Mooresville-based CITBA Financial Corp., which is the holding company for Citizens Bank, has terminated a proposed merger. The deal would have involved the combination of CITBA and Merchants Bancorp in Carmel. CITBA President Lynn Gordon says the transaction was scrapped because of delays with regulatory approvals. March 20, 2014

News Release

MOORESVILLE, Ind. - CITBA Financial Corporation (CITBA) (CBAF), Mooresville, IN, the bank holding company of Citizens Bank, today announced that it had elected to terminate the proposed merger transaction between CITBA and its bank subsidiary and Merchants Bancorp, of Carmel, Indiana, and its bank subsidiary, Merchants Bank of Indiana.

Lynn T. Gordon, President and CEO of CITBA, stated that continuing delays in obtaining the necessary regulatory approvals pushed the expected closing date beyond the outside date specified by the merger agreement for the parties to close. He emphasized that these regulatory delays had nothing to do with any regulatory concern relating to the earnings, asset quality, or financial condition of either of the banks, or with the merger transaction itself.

CITBA is the parent company of Citizens Bank. Citizens Bank offers a full range of financial and investment services through its 10 full-service banking offices and 12 ATMs located in Morgan, Hendricks and Marion County, Indiana. As of December 31, 2013, CITBA had consolidated total assets of $378.2 million, deposits of $330.5 million, and shareholders' equity of $36.2 million.

Source: CITBA Financial Corp.