Ida Grove-based United Bank of Iowa signed a deal with Heritage Bank, N.A., Spicer, Minn., to purchase its locations in Anthon, Cushing, Holstein, Aurelia, Alta, and Lytton, Iowa.
Heritage Bank is keeping two Sioux City, Iowa, locations, its only other offices in the state. Heritage will concentrate on mortgage lending and commercial banking from those offices, the bank said in a release.
“Our focus has shifted at Heritage as our business has evolved. We thank our rural Iowa customers for their business and loyalty over the years, yet recognize it is time to part ways,” said Tom Geiger, CEO of the $428 million Heritage, which also has four branches in central Minnesota and one in Sioux Falls.
The six branches being sold had about $120 million in combined deposits as of June 30, 2018.
“With current offices in Holstein and Aurelia and several offices throughout this region, adding these locations will be an excellent fit within our existing footprint,” said Owen C. Bolte, president and CEO of United Bank.
The $1.6 billion United Bank has 31 offices serving rural west central Iowa.