Citizens Community Bancorp, Inc. · NASDAQ:CZWI
Citizens Community Bancorp — Merger or Acquisition (January 2019)
16 slides from Citizens Community Bancorp's merger presentation, Jan 22, 2019
Slide 1: Filed by Citizens Community Bancorp, Inc. Pursuant to Rule 425
Filed by Citizens Community Bancorp, Inc. Commission File No. 001-33003 Filed Pursuantto Rule 425 under the Securities Act of 1933 Subject Company: F. & M. Bancorp. of Tomah, Inc. The following presentation materials will be used by Citizens Community Bancorp, Inc. at one or more investor relations
Slide 2: Acquisition of F. & M. Bancorp. of Tomah, Inc.
ACQUISITION OF F. & M. Bancorp. of Tomah, Inc. parent company of
Slide 3: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking information about Citizens Community Bancorp, Inc. and subsidiaries (collectively, “CZWI”) that is intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Re
Slide 4: Table of Contents
Table of Contents SECTION DESCRIPTION I. Transaction Summary II. Overview of F. & M. Bancorp of Tomah III. Pro Forma Summary
Slide 5: I. Transaction Summary
I. Transaction Summary
Slide 6: Transaction Highlights
Transaction Highlights • Transaction adds an adjacent market to CZWI’s Wisconsin presence with Tomah branch locations that are attractively located nearby CZWI’s Eau Claire and Osseo markets • Transaction provides CZWI with a stable, modestly priced deposit base for organic growth opportunities • At
Slide 7: Transaction Rationale
Transaction Rationale â–ª Straightforward follow-on acquisition to United Bank with stable deposits concentrated in one market Strategic â–ª Accelerates pro forma franchise growth in total assets and deposits Rationale â–ª Consistent with CZWI’s strategy of “re-formulating” its loan and deposit comp
Slide 8: Transaction Terms
Transaction Terms F. & M. Bancorp of Tomah Transaction Value(1) $21.6 million Consideration 85% Cash, 15% Stock Price/TBV 105.8% Price/LTM EPS(2) 16.0x Customary regulatory and F. & M. Bancorp of Required Approvals Tomah shareholder approval Expected Closing Q2 2019 (1) Based on 216,546 F. & M. Banc
Slide 9: II. F. & M. Bancorp. of Tomah Overview
II. F. & M. Bancorp of Tomah Overview
Slide 10: F. & M. Bancorp. of Tomah Overview
F. & M. Bancorp of Tomah Overview â–ª F. & M. Bancorp of Tomah was founded in Farmers & Merchants Bank 1984 and its two major operating locations are located in Tomah, WI For the Twelve Months Ended Quarter Ended In $000s except for per share data 12/31/15 12/31/16 12/31/17 03/31/18 06/30/18 09/30/1
Slide 11: III. Pro Forma Summary
III. Pro Forma Summary
Slide 12: Pro Forma Franchise Locations
Pro Forma Franchise F. & M. Bancorp Locations CZWI Locations(1) (1) Includes acquisition of United Bank Source: S&P Global Market Intelligence 10
Slide 13: Pro Forma Loans
Pro Forma Loans CZWI(1) F. & M. Bancorp Combined Multifam Other CRE Multifam Other CRE 5.9% Multifam 11.9% 7.5% 13.2% 6.1% Other CRE OwnOcc CRE 22.0% OwnOcc CRE 13.7% 15.1% C&I HELOC 9.5% C&I C&I 5.6% 20.1% HELOC 10.8% 5.0% Consr & Other Consr & Other 11.6% OwnOcc CRE 10.3% 1-4 Fam 25.3% 1-4 Fam 25.
Slide 14: Pro Forma Deposits
Pro Forma Deposits CZWI(1) F. & M. Bancorp Combined NOW Accts 2.1% Time > Time > NOW Accts Time > Non Int. 4.2% $100k Non Int. $100k $100k Non Int. Bearing 9.1% Bearing 12.1% 13.3% 15.1% Bearing 15.5% 19.6% Time < $100k 16.5% Time < $100k Time < $100k 19.8% 21.5% NOW Accts 19.8% MMDA & Sav 47.6% MMD
Slide 15: Transaction Summary
Transaction Summary â–ª Transaction drives earnings growth and overall shareholder value for both CZWI and F. & M. Bancorp of Tomah shareholders â–ª Straightforward follow on acquisition to United Bank further improves CZWI’s balance sheet composition, operating efficiencies and earnings power â–ª I
Slide 16: Investor Contacts
Investor Contacts Stephen M. Bianchi President & Chief Executive Officer James S. Broucek Executive VP & Chief Financial Officer Citizens Community Bancorp, Inc. 2174 EastRidge Center Eau Claire, WI 54701 (715) 836-9994 www.ccf.us
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