Shares of First Mid Bancshares, Inc. FMBH gained 10.8% following the announcement of a definitive merger agreement with LINCO Bancshares, Inc., the holding company for Providence Bank. Per the deal, which is anticipated to close in first-quarter 2021, First Mid Bancshares will acquire all of the outstanding shares of LINCO for $144.9 million.
The merger is expected to help First Mid Bancshares in revenue enhancement with expansion of its Wealth Management and Insurance business lines.
Once the merger is complete, First Mid Bancshares will have nearly $5.3 billion in total assets, excluding Paycheck Protection Program (“PPP”) loans.
Notably, the deal has already been approved by the board of directors of the companies.
Terms & Financial Details of the Deal
Per the agreement, shareholders of LINCO will receive $116.5 million in cash and 1,262,246 shares of First Mid Bancshares’ common stock.
One member from LINCO’s board will join the board of