Home Financial Bancorp, the holding company for Our Community Bank, Spencer, Ind., will be acquired by Crane Credit Union, Odon, Ind., in an all-cash transaction. The credit union also announced in June its acquisition of the $90 million Community State Bank of Southwestern Indiana in Poseyville, Ind., which is expected to be completed in the fourth quarter of 2020.
Upon completion of the most recent deal, Home Financial and OCB will settle remaining obligations, a statement said, and distribute remaining cash to the holding company’s shareholders.
Home Financial estimated its shareholders will get between $10.75 and $11.25 per share of its common stock, considering the terms of the purchase and assumption agreement. This range represents 137 to 143 percent of the holding company’s book value as recorded at the end of June.
Our Community Bank was founded in 1911 by a group of Spencer locals. CCU was founded in 1955 on Crane Naval Surface Warfare Center.
The credit union’s acquisition of the $73 million bank was unanimously approved by both institutions’ boards, and is expected to close in 2021.
“CCU has the financial strength, systems infrastructure, and expanded products to help us better serve our current and potential customers,” said Kurt Rosenberger, president and CEO of Our Community Bank. “Most importantly, CCU and OCB fit culturally and philosophically.”