First Bank, Creve Coeur, Mo., is selling 14 of its branches in a trio of deals. The branches involved in the deal are largely in rural areas of Illinois and Missouri.
Royal Banks of Missouri, University City, will purchase two Illinois branches, in Granite City and Jerseyville. The pair of branches had $47 million and $67 million in deposits, respectively, as of June 30, 2019. The $697 million Royal Banks currently has 11 branches in Missouri.
Dieterich Bank, Effingham, Ill., will purchase five Illinois branches, in Columbia ($48 million in deposits), Red Bud ($54 million in deposits), Chester ($42 million in deposits), Waterloo ($22 million in deposits) and Breese ($66 million in deposits). The $806 million Dieterich Bank currently has eight branches in Illinois.
First State Community Bank, Farmington, Mo., will purchase seven Missouri branches, located in Warrenton ($36 million in deposits), Dutzow ($39 million in deposits), Washington ($34 million in deposits), Gerald ($46 million in deposits), Owensville ($45 million in deposits), Hermann ($51 million in deposits) and St. Genevieve ($77 million in deposits). The $2.6 billion First State currently has 53 branches in Missouri.
“The purpose of these sales is to focus our branch network on markets where we have the greatest opportunity to grow and to align our investments with our strategy,” said First Bank chair and CEO Shelley Seifert. “The decision to sell these branches was strictly strategic — we don’t have a rural strategy.”
Terms of the deals were not disclosed. After they close, the $6.2 billion First Bank will have 80 branches in California, Illinois and Missouri and two LPOs in Kansas City and Omaha.