Bank of Bird-in-Hand announces new Ephrata branch

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The Bank of Bird-in-Hand, based in Bird-in-the-Hand, Penn., announced Thursday that it would be opening its latest brick-and-mortar branch in Ephrata on July 19.

The Ephrata branch will be the bank’s fourth traditional branch office, in addition to three mobile bank branches serving Lancaster and Chester counties.

The bank also reported a special cash dividend of $0.22 per share of common stock, payable on Sept. 1, 2021. Additionally, the Bank said it intends to undertake a common stock offering in September to support the Bank’s growth and to avail itself of market opportunities. The expected offering range is between $15 million and $25 million in the aggregate, with a per share offering price expected to be in the range of $22 to $25 per share. Offering terms are expected to finalize in late August or early September.

“We are excited to be able to simultaneously announce the special cash dividend and the upcoming capital raise,” said Lori A. Maley, president, vice chairman, and CEO of the Bank. “In addition, our strong overall growth and mounting demand in the Ephrata market warrants opening a traditional branch in the community. It will help us meet the growing needs of our current customers and provide a convenient platform to add new customers.”

Maley said the bank’s financial performance since its founding in 2013 provides the bank with the opportunity to offer the cash dividend.

“Over the past seven years, our Bank has consistently achieved above peer organic growth which the Board of Directors believes warrants us to raise capital to plan for additional future growth,” Kevin J. McClarigan, Chairman of the Board, said. “The additional capital will help the Bank maintain a strong foundation on which to grow and provide the resources needed to meet the long-term goals of the Bank, which include, among other things, further loan growth and additional unidentified fixed and mobile branch locations.”