Mid Penn Bank pursues merger with Scottdale bank
Mid Penn Bancorp is seeking federal and state approvals of a proposed merger with Scottdale Bank & Trust Company. The merger would bring the 116-year-old community bank with five locations in southern Westmoreland County and Fayette County under the umbrella of Millersburg-based Mid Penn, which operates 23 branches in Cumberland, Dauphin, Lancaster, Luzerne, Northumberland and Schuylkill counties.
The merger is expected to close in the fourth quarter of this year, with the Scottdale bank operating as a division of Mid Penn Bank.
President and CEO Rory G. Ritrievi said in a news release Mid Penn “will be able to offer new products, services and conveniences to Scottdale's customers” while continuing the local bank's “commitment to both community service and community banking.”
“We look forward to welcoming Scottdale's employees, customers and communities,” he added.
Mid Penn spokeswoman Brittany Zolko said Monday details haven't been finalized regarding any potential changes in services or locations available to the Scottdale bank customers. The Scottdale bank, with assets of about $263 million, has branches in Scottdale, Mt. Pleasant, Connellsville and Vanderbilt, A message seeking comment from Scottdale Bank & Trust officials Monday wasn't immediately returned. President and CEO Donald F. Kiefer said in a recent news release that Mid Penn will be “a great partner that shares the same values an personal customer service delivery.”
According to a merger agreement signed in March, Mid Penn intends to purchase Scottdale stock and provide cash in a transaction valued at about $59.1 million. Kiefer's addition to the Mid Penn board of directors was proposed.
Mid Penn Bank, which has been in operation since 1868, expects to have assets exceeding $1.3 billion with completion of the merger.