ChoiceOne Financial Services, Inc. Receives Regulatory Approval for Merger with Fentura Financial, Inc.
ChoiceOne Financial Services (NASDAQ: COFS) has received regulatory approval from the Federal Reserve System for its merger with Fentura Financial (OTCQX: FETM). The merger will create a combined organization headquartered in Sparta, Michigan, operating under the ChoiceOne name and brand. The transaction is expected to be effective on March 1, 2025, with bank consolidation following on March 14, 2025.
The merger will expand ChoiceOne's presence into several Michigan counties including Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee, and Bay. Post-merger, ChoiceOne will become a $4.3 billion-asset bank holding company with 56 offices across West and Southeastern Michigan.
ChoiceOne Financial Services (NASDAQ: COFS) ha ricevuto l'approvazione normativa dal Sistema della Federal Reserve per la sua fusione con Fentura Financial (OTCQX: FETM). La fusione darà vita a un'organizzazione combinata con sede a Sparta, Michigan, che opererà sotto il nome e il marchio ChoiceOne. Si prevede che la transazione diventi effettiva il 1° marzo 2025, con la consolidazione delle banche che seguirà il 14 marzo 2025.
La fusione allargherà la presenza di ChoiceOne in diverse contee del Michigan, tra cui Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee e Bay. Dopo la fusione, ChoiceOne diventerà una holding bancaria con attivi di 4,3 miliardi di dollari con 56 uffici in Michigan occidentale e sudorientale.
ChoiceOne Financial Services (NASDAQ: COFS) ha recibido la aprobación regulatoria del Sistema de la Reserva Federal para su fusión con Fentura Financial (OTCQX: FETM). La fusión creará una organización combinada con sede en Sparta, Michigan, que operará bajo el nombre y la marca ChoiceOne. Se espera que la transacción sea efectiva el 1 de marzo de 2025, con la consolidación bancaria que seguirá el 14 de marzo de 2025.
La fusión ampliará la presencia de ChoiceOne en varios condados de Michigan, incluidos Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee y Bay. Después de la fusión, ChoiceOne se convertirá en una compañía de tenencia bancaria con activos de 4.3 mil millones de dólares con 56 oficinas en el oeste y sureste de Michigan.
ChoiceOne Financial Services (NASDAQ: COFS)는 Fentura Financial (OTCQX: FETM)와의 합병에 대해 연방준비제도 이사회의 규제 승인을 받았습니다. 이 합병으로 미시간주 스파타에 본사를 두고 ChoiceOne 이름과 브랜드로 운영되는 통합 조직이 만들어질 것입니다. 거래는 2025년 3월 1일에 효력이 발생할 예정이며, 은행 통합은 2025년 3월 14일에 진행될 것입니다.
이번 합병은 ChoiceOne의 미시간주 여러 카운티(제네시, 잭슨, 리빙스턴, 인감, 사기노, 샤이와시, 베이 등) 내 존재감을 확대할 것입니다. 합병 후 ChoiceOne은 자산 43억 달러의 은행 지주회사가 되어 서부 및 남동 미시간에 56개의 사무소를 운영하게 됩니다.
ChoiceOne Financial Services (NASDAQ: COFS) a reçu l'approbation réglementaire du Système de la Réserve fédérale pour sa fusion avec Fentura Financial (OTCQX: FETM). La fusion créera une organisation combinée dont le siège sera situé à Sparta, Michigan, opérant sous le nom et la marque ChoiceOne. La transaction devrait être effective le 1er mars 2025, avec une consolidation bancaire prévue pour le 14 mars 2025.
La fusion étendra la présence de ChoiceOne dans plusieurs comtés du Michigan, notamment Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee et Bay. Après la fusion, ChoiceOne deviendra une société de portefeuille bancaire avec des actifs de 4,3 milliards de dollars disposant de 56 bureaux dans l'ouest et le sud-est du Michigan.
ChoiceOne Financial Services (NASDAQ: COFS) hat die regulatorische Genehmigung des Federal Reserve Systems für die Fusion mit Fentura Financial (OTCQX: FETM) erhalten. Die Fusion wird eine kombinierte Organisation mit Hauptsitz in Sparta, Michigan, schaffen, die unter dem Namen und der Marke ChoiceOne operiert. Es wird erwartet, dass die Transaktion am 1. März 2025 wirksam wird, gefolgt von der Bankenfusion am 14. März 2025.
Die Fusion wird die Präsenz von ChoiceOne in mehreren Landkreisen in Michigan, einschließlich Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee und Bay, erweitern. Nach der Fusion wird ChoiceOne zu einer Bankholdinggesellschaft mit Vermögenswerten von 4,3 Milliarden Dollar mit 56 Büros in West- und Südost-Michigan.
- Expansion into 7 new Michigan counties
- Asset size increase to $4.3 billion
- Network expansion to 56 offices
- Geographic market diversification in West and Southeastern Michigan
- None.
Insights
This strategic merger marks a transformative moment for Michigan's banking landscape, creating a significantly larger regional banking force with $4.3 billion in assets. The expansion into seven new counties - Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee, and Bay - represents a calculated move to capture key markets in both West and Southeastern Michigan, effectively doubling ChoiceOne's geographical footprint.
The timing of this merger is particularly strategic given the current banking environment where scale and efficiency are increasingly critical for regional banks to compete effectively. By expanding to 56 offices, the combined entity will achieve important economies of scale, potentially leading to reduced operational costs per customer and enhanced technological investment capabilities. This increased scale could provide a stronger competitive position against both larger national banks and smaller local institutions.
The Federal Reserve's approval signals confidence in the merger's compliance with regulatory requirements and financial stability standards. The planned rapid integration timeline, with bank consolidation scheduled just two weeks after the merger completion, suggests well-prepared operational integration plans. This efficiency in execution could minimize disruption to customers and accelerate the realization of cost synergies.
From a market perspective, this consolidation strengthens ChoiceOne's deposit base and lending capabilities across diverse Michigan markets, from urban centers to rural communities. The expanded footprint creates opportunities for revenue synergies through cross-selling of products and services to a broader customer base, while the increased scale could improve the bank's ability to compete for larger commercial relationships.
"We believe this merger is a tremendous opportunity for our customers, communities, employees and shareholders and complements our vision to be the best bank in
Following completion of the transaction, ChoiceOne Financial Services, Inc. will be an approximately
About ChoiceOne Financial Services, Inc. and ChoiceOne Bank
ChoiceOne Financial Services, Inc. is a financial holding company headquartered in
About Fentura Financial, Inc. and The State Bank
Fentura Financial, Inc. is the holding company for The State Bank. It was formed in 1987 and is traded on the OTCQX under the symbol "FETM."
The State Bank is a commercial, retail and trust bank headquartered in
Forward-Looking Statements
This report and its exhibits contain forward-looking statements. Words such as "anticipates," "believes," "estimates," "expects," "forecasts," "intends," "is likely," "plans," "predicts," "projects," "may," "could," "look forward," "continue", "future" and variations of such words and similar expressions are intended to identify such forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements regarding the outlook and expectations of ChoiceOne or Fentura with respect to their planned merger pursuant to the Agreement and Plan of Merger dated July 25, 2024 (the "Merger Agreement"), the strategic benefits and financial benefits of the merger, including the expected impact of the proposed transaction on the combined company's future financial performance and the timing of the closing of the proposed transaction. These statements reflect current beliefs as to the expected outcomes of future events and are not guarantees of future performance. These statements involve certain risks, uncertainties and assumptions ("risk factors") that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed, implied or forecasted in such forward-looking statements. Furthermore, ChoiceOne does not undertake any obligation to update, amend, or clarify forward-looking statements, whether as a result of new information, future events, or otherwise. Such risks, uncertainties and assumptions, include, among others, the following:
- the failure of either party to satisfy any closing condition to the proposed transaction on a timely basis or at all;
- the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the parties to terminate the Merger Agreement;
- the possibility that the anticipated benefits of the proposed transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the two companies or as a result of the strength of the economy, competitive factors in the areas where ChoiceOne and Fentura do business, or as a result of other unexpected factors or events;
- the impact of purchase accounting with respect to the proposed transaction, or any change in the assumptions used regarding the assets purchased and liabilities assumed to determine their fair value;
- diversion of management's attention from ongoing business operations and opportunities;
- potential adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the proposed transaction; or
- the outcome of any legal proceedings that may be instituted against ChoiceOne or Fentura.
Additional risk factors include, but are not limited to, the risk factors described in Item 1A in ChoiceOne's Annual Report on Form 10-K for the year ended December 31, 2023, and in any of ChoiceOne's subsequent SEC filings, which are available on the SEC's website, www.sec.gov.
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SOURCE ChoiceOne Financial Services, Inc.
FAQ
When will the ChoiceOne (COFS) merger with Fentura Financial be completed?
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