Isabella Bank Corporation · NASDAQ:ISBA
Isabella Bank — Merger or Acquisition (June 2026)
11 slides from Isabella Bank's merger presentation, Jun 12, 2026
Slide 1: Acquisition of Grand River Commerce, Inc.
Acquisition of Grand River Commerce, Inc. Investor Presentation | June 12, 2026
Slide 2: Legal Disclosure
Legal Disclosure Forward Looking Statements This presentation contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. In general, forward-looking statements usually use words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “should,” “plan
Slide 3: Expanding Presence in the Vibrant Grand Rapids Market
Expanding Presence in the Vibrant Grand Rapids Market Branch Map GNRV (2) Pro Forma Entity Transaction Impact ISBA (31) $2.8B 10.4% Assets ’27 EPS Accr. $2.0B 4.0% Loans TBV Dilution $2.3B 1.75 yr. TBV Dilution Deposits Earnback ~$209MM 1.3% Tangible Common ’27E Pro Forma ROAA Equity at Close¹ 86.9%
Slide 4: Overview of Grand River Commerce, Inc.
Overview of Grand River Commerce, Inc. Branch Footprint Grand River Financial Highlights $512MM 0.18% 12.40% Assets NPAs / Assets¹² CET1 Ratio¹ Grand Rapids Branch Grandville Branch $65MM Deposits $434MM 5.27% 9.91% $366MM Deposits Net Loans Yield on Loans Leverage Ratio¹ $439MM 0.01% 20.0% Deposits
Slide 5: Grand Rapids Market Overview
Grand Rapids Market Overview Overview Strong Fundamental Tailwinds 10-Yr Deposit CAGR: ▪ The Grand Rapids market offers an attractive Grand Rapids, MSA = 4.99% opportunity for ISBA to expand its presence into the $32.5B 1.2MM Michigan = 4.77% rapidly growing West Michigan market Deposit Market Size
Slide 6: Pro Forma Loan & Deposit Mix
Pro Forma Loan & Deposit Mix MRQ Pro Forma¹ Loan Composition $1.6B $439MM $2.0B Loans Loans Loans Yield on Loans: 5.78% Yield on Loans: 5.27% Yield on Loans: 5.62% Deposit Composition $1.9B $439MM $2.3B Deposits Deposits Deposits Cost of Deposits: 1.55% Cost of Deposits: 2.45% Cost of Deposits: 1.72
Slide 7: Transaction Highlights
Transaction Highlights • Strong projected EPS accretion of approximately 10.4% and 11.0% in 2027 and 2028, respectively, with high-teens IRR • Manageable TBV dilution at closing with an estimated earn back of 1.75 years using the crossover method • Conservatively underwritten profitability and cost
Slide 8: Transaction Summary
Transaction Summary ▪ Isabella Bank Corporation (“Isabella”) Buyer ▪ Mount Pleasant, MI ▪ Established 1903 ▪ Grand River Commerce, Inc. (“Grand River”) Seller ▪ Grandville, MI ▪ Established 2009 ▪ 65% of Grand River shares to receive stock consideration and 35% to receive cash consideration ▪ Grand
Slide 9: Financial Impact
Financial Impact ▪ Cost savings of 35.0% of Grand River’s expense base ($4.9MM fully-phased in) ▪ 75% phased-in during 2026, 100% thereafter ▪ $7.7MM in estimated pre-tax deal expenses, fully realized in pro forma tangible book value estimate at closing ▪ Pre-tax loss of $1.7MM in available-for-sale
Slide 10: Comprehensive Due Diligence
Comprehensive Due Diligence ▪ Thorough review of key operating areas of the bank over multiple weeks ▪ Carried out by combination of 3rd party loan review team and Isabella team members and leadership Process ▪ Detailed credit review: Overview ▪ ~50% coverage of commercial portfolio ▪ ~80% coverage
Slide 11: THANK YOU!
www.isabellabank.com | MEMBER FDIC EQUAL HOUSING LENDER THANK YOU!