Business
CB Financial Services, Inc. Announces Sale of Two West Virginia Branches to Citizens Bank of West Virginia, Inc.
WASHINGTON, Pa. & ELKINS, W.V.--(BUSINESS WIRE)-- CB Financial Services, Inc. (the “Company”) (NASDAQ: CBFV), the holding company for Community Bank,
About this update from Cb Financial Services, Inc.
[{"type":"text","content":" WASHINGTON, Pa. & ELKINS, W.V.--(BUSINESS WIRE)--\nCB Financial Services, Inc. (the “Company”) (NASDAQ: CBFV), the holding company for Community Bank, announced today that it and Community Bank have entered into a Purchase and Assumption Agreement to sell two West Virginia branches. The Company and Community Bank have agreed to sell their Buckhannon and New Martinsville branches to Citizens Bank of West Virginia, Inc. (“Citizens”), the bank subsidiary of Citizens Financial Corp. (OTC: CIWV), headquartered in Elkins, WV.\n\nThe sale of these branch locations is a continuation of the branch optimization strategy outlined by the Company in February 2021, and allows for Community Bank to focus on its core markets surrounding Southwestern Pennsylvania as well as advance efficiency throughout the organization. Of the Company’s entire branch network, these two locations were geographically the furthest from the Company’s headquarters. Following the closing of this transaction, and the consolidation of six additional branches previously announced, the Company will operate 14 locations in its branch network in southwestern Pennsylvania and West Virginia.\n\nPursuant to the terms of the Purchase and Assumption Agreement, Citizens has agreed to assume certain deposit liabilities and to acquire certain loans, as well as cash, real property, personal property and other fixed assets associated with the two branches.\n\nThe deposit and loan balances at the branch locations as of May 31, 2021 were approximately $101.9 million, and $6.3 million, respectively. Citizens will pay a 5% deposit premium on the total deposits transferred. Subject to obtaining the necessary regulatory approvals, the pending sale is expected to close in the fourth quarter of 2021 and is expected to result in a gain on sale. Customers of these branches will receive additional information regarding the transaction in the coming months.\n\nManagement Commentary\nJohn H. Montgomery, President and Chief Executive Officer of the Company and Community Bank, stated, “We are pleased to announce an agreement that represents a win for Community Bank, Citizens, and our customers in those surrounding communities. These West Virginia branches are much closer to Citizens’ headquarters and centralized operations. This transaction allows our Company to focus our growth on our core marke...