High Point Financial Services, Inc., parent company of Solutions Bank, announced today that it has entered into an Agreement and Plan of Merger (the "Merger Agreement") whereby it will acquire Durand Bancorp Inc., parent company of Durand State Bank, in an all-cash transaction.
The proposed transaction will expand Solutions Bank’s branch footprint to Winnebago County with the addition of offices in Durand and Davis, Illinois. The combination will result in an increase in Solutions Bank’s asset base to approximately $470 million based on financial data as of December 31, 2020.
Jeff Snyder, President of High Point Financial Services, Inc., commented, "We are very excited about the proposed merger with Durand State Bank. Our companies share similar values and our partnership will reinforce the foundation for an extraordinary community bank that puts our customers, employees, and communities first. We look forward to entering attractive new markets that are a logical extension of our existing operations."
"We are excited to partner with Solutions Bank, and believe the merger is an excellent fit," said Kathy Sutherland, President & CEO of Durand Bancorp Inc. "We believe this combination will better align our resources, enhance our financial strength, and expand our product offerings and technology solutions, all of which will allow us to even better-serve our customers and communities."
The proposed transaction, which has been approved by the boards of directors of both companies but remains subject to customary closing conditions as well as approval by Durand Bancorp Inc.’s stockholders and by applicable bank regulatory authorities, is expected to be completed in the third quarter of 2021.
Olsen Palmer LLC served as financial advisor and Godfrey Kahn S.C. served as legal advisor to Durand Bancorp Inc. Wipfli LLP served as financial advisor and Howard & Howard Attorneys PLLC served as legal counsel to High Point Financial Services, Inc.
About High Point Financial Services, Inc.
Solutions Bank is the wholly-owned subsidiary of High Point Financial Services, Inc. Originally founded in 1887 as Forreston State Bank in Forreston, Illinois, Solutions Bank now has five locations across three Illinois counties, total assets of $349 million, loans of $155 million, and deposits of $272 million based on financial information as of December 31, 2020. More information about Solutions Bank can be found on its website: www.solutions.bank.
About Durand Bancorp Inc.
Durand State Bank, founded in 1957, is based in Durand, Illinois with an additional office in Davis, Illinois. As of December 31, 2020, Durand State Bank had total assets of $120 million, loans of $57 million, and deposits of $107 million. For more information on Durand State Bank, please visit www.durandstatebank.com.
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President & CEO
Durand State Bank