BankIowa of Independence, Iowa, has entered into an agreement to acquire fellow Iowa financial institution Rowley Savings Bank. The proposed transaction, subject to approval by Rowley shareholders and regulators, is expected to close later this year.
Upon completing the acquisition, Rowley Savings Bank will merge into BankIowa and join its branches in Independence, Lamont, Jesup, Waterloo, Cedar Falls, Norway, Cedar Rapids and Marion. Rowley Savings Bank customers will receive notice of the transition, expanded line of services and any other possible changes that could affect them.
As of March 31, BankIowa had 137 full-time equivalent employees, $779.43 million in total assets, $633.76 million in deposits and $525.26 million in net loans and leases. As of March 31, Rowley Savings Bank had two full-time equivalent employees, $18.78 million in total assets, $17.31 million in total deposits and $2.97 million in net loans and leases.
BankIowa (then known as Farmers State Savings Bank) was incorporated in February 1921 in Independence, Ia. By 1991, it had offices in Independence, Jesup and Lamont, eventually becoming the largest financial institution in Buchanan County. In June 1998, Farmers State Savings Bank changed its name to BankIowa, opening its first Cedar Rapids location the following spring. A second followed in August 2001. Rowley Savings Bank was organized as a private bank in 1902 and in 1914 incorporated as Rowley Savings Bank.
Rowley Savings Bank owner Greg Shields, who is selling the bank as he retires, said his organization is “very happy” that BankIowa is the acquiring entity and keeping it as a branch location. Shields, who has worked at the bank for 45 years, has been an owner for approximately 25 years. Shields is leaving with “very mixed emotions,” as he will miss the bank’s approximately 800 customers. However, he is pleased that they will be able to have mortgage lending, mobile banking and electronic services not currently available once the merger is finalized, possibly in October.
“That will be helpful for our customers,” Shields said.