Business
Citizens Financial Services, Inc. and HV Bancorp, Inc. Sign Definitive Merger Agreement
MANSFIELD, Pa. and DOYLESTOWN, Pa., Oct. 19, 2022 /PRNewswire/ -- Citizens Financial Services, Inc. (NASDAQ: CZFS) (the "Company" or "CZFS"), the holding
About this update from Citizens Financial Services, Inc.
[{"type":"text","content":"MANSFIELD, Pa. and DOYLESTOWN, Pa., Oct. 19, 2022 /PRNewswire/ -- Citizens Financial Services, Inc. (NASDAQ: CZFS) (the \"Company\" or \"CZFS\"), the holding company for First Citizens Community Bank (\"FCCB\"), and HV Bancorp, Inc. (NASDAQ: HVBC) (\"HVBC\"), the holding company for Huntingdon Valley Bank (\"HVB\"), are pleased to jointly announce entry into a definitive agreement (the \"Agreement\") pursuant to which HVBC will merge with and into CZFS. Under the terms of the Agreement, the shareholders of HVBC will have the right to elect to receive for each share of HVBC common stock either $30.50 in cash or 0.400 shares of CZFS common stock, or approximately $67.4 million in the aggregate. Elections will be subject to proration procedures whereby 80% of the shares of HVBC common stock will be exchanged for CZFS common stock and 20% of the shares of HVBC common stock will be exchanged for cash.\nThis strategically compelling merger is expected to enhance and expand CZFS's presence in communities located in Montgomery, Bucks and Philadelphia Counties in Pennsylvania, New Castle County in Delaware, and Burlington County in New Jersey. Travis J. Thompson, currently the Chief Executive Officer of HVBC, and Robert J. Marino, currently the President of HVBC, will be employed as senior officers of FCCB.\nAs of June 30, 2022, HVBC had approximately $570.6 million of total assets, $388.3 million of net loans and $481.5 million of deposits. Based on financial metrics as of June 30, 2022, the combined company is expected to have over $2.78 billion in assets, $1.96 billion in gross loans and $2.36 billion in deposits upon completion of the transaction.\nRandall Black, President and Chief Executive Officer of CZFS, commented, \"We are pleased to announce the strategic combination of FCCB (First Citizens Community Bank) and Huntingdon Valley Bank. Our complementary business models and shared values make this partnership a natural fit,\" said Mr. Black. \"This agreement creates great excitement, and we believe our combination will deepen our reach in providing banking services and enhanced technological offerings across our entire bank franchise. In addition, the expertise of the combined organization will enable us to invest in the future, build market share, and better serve all of our constituencies. From a broader perspective, together w...