NexTier Bank, which serves Western Pennsylvania, is acquiring Mars Bank, based in Mars, Pa., just north of Pittsburgh.
The new, combined community bank will have total assets in excess of $2.6 billion after the deal closes.
Next Tier bank has 27 branches and $2.1 billion in assets, with a strong commercial business, treasury management and relationship building focus.
Mars Bank holds $521 million in assets and brings strong capability in retail, mortgage, and commercial lending along with digital acquisition.
All of the Mars branch locations and offices will operate under the NexTier Bank brand. The organization will be led by NexTier’s President and CEO Clem Rosenberger, while Jim Dionise, the president and CEO of Mars Bank, will join the NexTier Bank board of directors upon the consummation of the merger.
“We believe the merger with Mars Bank provides NexTier the opportunity to provide additional banking services to Western Pennsylvania’s businesses, retail customers, non-profit organizations, school districts and local government entities. We are especially excited to expand our services into Mercer County. We will continue to provide the level of relationship-focused service and community involvement that both organizations have historically succeeded in,” Rosenberger said. “We look forward to our partnership with Mars Bank as we combine our two organizations.”
Mars Bank shareholders will receive cash consideration of $20 for each share of Mars common stock owned once the deal is finalized.
“This merger ensures our customers will continue to receive access to the products, services, and technology they need, while maintaining the relationship-driven, hands-on service they’ve come to expect,” Dionise said.
The agreement was unanimously approved by the boards of directors of NexTier and Mars. The transaction is expected to close in the first quarter of 2024, following regulatory and shareholder approvals and the satisfaction of other customary closing conditions.
Janney Montgomery Scott served as financial advisor and Alston & Bird served as legal counsel to NexTier. D.A. Davidson & Co. served as financial advisor and Silver, Freedman, Taff & Tiernan LLP served as legal counsel to Mars.