Clarksville-based First Savings Financial Group Inc. (Nasdaq: FSFG) has announced plans to acquire The First National Bank of Odon. The parent of First Savings Bank says the $10.6 million deal would result in FNBO integrating into the First Savings brand.
The acquisition remains subject to approval by FNBO shareholders and regulators. Under the terms of the deal, FNBO shareholders would receive $265 in cash for each share of FNBO common stock they own.
The First National Bank of Odon currently operates two branches in Daviess County.
"The addition of these offices to the First Savings network provides for a 17% market share in Daviess County and establishes a new market in which we can expand our franchise," First Savings Chief Executive Officer Larry Myers said in a news release. "Moreover, it continues to demonstrate our commitment to serving and expanding throughout the southern Indiana market. We anticipate that this transaction will be accretive to earnings in the first year, excluding one-time transaction related expenses, improve funding sources for continued growth, and enhance near and long-term shareholder value."
First Savings says the acquisition is expected to close in the fourth quarter.