Central Bancshares Purchasing Walcott Trust and Savings Bank
Monday, August 26, 2019 – For Immediate Release
(Muscatine, IA) Central Bancshares, Inc. of Muscatine, Iowa, and Walcott Trust and Savings Bank, based in Walcott, Iowa, have jointly announced the signing of an agreement whereby Central Bancshares, Inc. will acquire Walcott Trust and Savings Bank.
Terms of the transaction, which is subject to regulatory approval, were not disclosed. It is anticipated that it will be completed by the end of 2019.
Walcott Trust and Savings Bank was organized in 1893 and has total assets of approximately $130 million. It serves a primary market area of Scott and northeast Muscatine Counties in Iowa through two locations: 101 West Bryant Street in Walcott and 2322 East Kimberly Road in Davenport.
Central Bancshares, Inc. is a privately-held parent company of two subsidiary banks: CBI Bank & Trust, based in Muscatine, Iowa and F&M Bank, based in Galesburg, Illinois. On a combined basis they serve approximately 32,000 households and businesses through 14 banking centers, with locations in Coralville, Davenport, Kalona, Muscatine, Washington and Wilton in Iowa and Brimfield, Buffalo Prairie, Galesburg and Peoria in Illinois. After completion of the transaction, Central Bancshares will have total assets in excess of $1 billion.
The boards and executives of both companies believe that the transaction will create a strong partnership, bringing together two compatible, community-oriented banking enterprises.
“It’s a great opportunity and excellent fit for both organizations,” said Clemens “Cal” Werner, Jr., President of Walcott Trust and Savings Bank. “Our customers can rest assured that there is a strong commitment to not only continue providing the same safe, stable banking environment that they’ve grown to know and trust, but in addition, to be able to offer additional services to our customers.”
That sentiment was reinforced by Greg Kistler, President and CEO of Central Bancshares, Inc.
'We are excited to partner with Walcott Trust and Savings Bank,” Kistler said. “They share our core philosophy of community banking: empowered local management and employees dedicated to serving our customers and communities.”
“After the acquisition is completed, customers will not see any immediate changes,” Kistler added. “The bank will continue to operate under the Walcott Trust and Savings Bank name, at the same locations, supported by the same friendly officers and staff. In short, it will be business as usual, along with the financial strength and resources of a larger parent organization.”
Cummings & Company, LLC served as financial advisor and Fredrikson & Byron, P.A. served as legal counsel to Central Bancshares, Inc. in connection with the transaction.
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