The proposed merger between Michigan City-based Horizon Bancorp (Nasdaq: HBNC) and Kosciusko Financial Inc. in Mentone is one step closer to completion. The $22.5 million deal has received regulatory approval from the Office of the Comptroller of Currency and the Federal Reserve Board.
The merger must still be approved by Kosciusko’s shareholders and other closing conditions must be satisfied. Kosciusko Financial is the parent company of Farmers State Bank, which has five northeast Indiana locations.
"The progress being made by both Farmers’ and Horizon’s integration teams have been even better than anticipated," said Greg Maxwell, president and CEO of Farmers State Bank. "Obtaining the regulatory approvals is another step towards the culmination of our partnership that has been moving along great."
If approved, the combined operations will continue under the Horizon Bank name. The merger is expected to close on June 1, provided all necessary conditions are met.
Kosciusko Financial will hold its meeting of shareholders to approve the merger on May 25.