First Financial Corporation and SimplyBank jointly announced the execution of a definitive agreement under which First Financial will acquire SimplyBank. First Financial will pay $718.38 per share in cash for each share of SimplyBank’s common stock outstanding. The aggregate value of the transaction is $73.4 million. Upon completion of the merger, SimplyBank will merge into First Financial Bank, N.A, a wholly owned subsidiary of First Financial.
SimplyBank, headquartered in Dayton, TN, has approximately $702 million in assets and operates 13 bank branches and one loan production office in Tennessee and Georgia. SimplyBank has 10 branch offices in Tennessee in the communities of Benton, Chattanooga, Cleveland, Dayton, Decatur, Harriman, Rockwood, Soddy-Daisy and Spring City, as well as three branch offices in Georgia in the communities of Flintstone, Ringgold and Rossville.
First Financial, headquartered in Terre Haute, IN, has assets of approximately $4.8 billion and operates 70 banking centers in Illinois, Indiana, Kentucky and Tennessee through First Financial Bank. If the proposed merger is completed as expected, it is anticipated that First Financial will have total combined consolidated assets of approximately $5.5 billion.
“This acquisition is exciting for our company. SimplyBank provides us with an opportunity to deepen our commitment to the Tennessee market while expanding into attractive new MSAs. We look forward to continuing SimplyBank’s commitment to its customers and the communities it serves,” said Norman L. Lowery, President and CEO of First Financial.
John Owen, CEO of SimplyBank, added, “We are pleased for our stakeholders, but are also delighted that our customers will continue to enjoy a great relationship with the local SimplyBank employees, as they continue working with a strong community-focused financial organization through the SimplyBank branch network. We are excited about the stability and additional growth opportunities that our agreement with First Financial will provide.”
The transaction is expected to close in the second quarter of 2024 and is subject to customary closing conditions, including, but not limited to, receipt of regulatory and SimplyBank stockholder approvals.
First Financial was advised by the investment banking firm of Raymond James & Associates, Inc. and the law firm of Amundsen Davis, LLC. SimplyBank was advised by the investment banking firm of Piper Sandler & Co. and the law firm of Frost Brown Todd LLP.