Lake Shore III Corporation, the holding company of Hiawatha National Bank, a national bank headquartered in Hager City, and Union Bank of Blair, a Wisconsin state-chartered bank headquartered in Blair, recently announced it entered into a Stock Purchase Agreement on March 21, 2019 to acquire First American Bank, National Association, a national bank headquartered in Hudson.
The transaction is expected to be completed in the third quarter of 2019, pending regulatory approval, approval of First American's shareholders, as well as other customary closing conditions.
"We are pleased to be coming together in our largest market with FAB to serve our clients better. FAB's team shares our community focus and we look forward to continuing and expanding their legacy of service together," said Chairman of Lake Shore III Corporation, James W. Meisser.
John Malmberg, President of FAB, was also pleased with the proposed transaction, stating "We believe that our affiliation with Lake Shore III Corporation will be beneficial to our customers and our communities. We both maintain similar core values of integrity, relationship banking, local knowledge and value added service. It will also enable us to offer a wider array of services and the capability to finance larger loans."
FAB is a $131 million community bank and has one location in Hudson. HNB is a $216 million community bank that has locations in Glenwood City, Hager City, Hudson, Maiden Rock, Osceola and Sheboygan, Wis. UBB is a $108 million community bank that has one location in Blair. After closing of this transaction, it is expected that Lake Shore III Corporation's assets will increase to more than $455 million as the holding company of all three banks. The banks will maintain their position as neighborhood banks in their communities; their commitment remains strong to the communities they serve.
Oak Ridge Financial serves as financial advisor to First American Bank and Hovde Group, LLC serves as a financial advisor to Lake Shore III Corporation in connection with this transaction.