Arbor Bancorp Inc., the holding company for Bank of Ann Arbor, has entered into a definitive agreement to acquire Huron Valley Bancorp Inc., the holding company for Huron Valley State Bank in Milford. The all-cash transaction is expected to total approximately $52.1 million.
Under the terms of the agreement, shareholders of Huron Valley will receive $59 per share in cash for each share of HVLM common stock. This results in a deal value of approximately $52.1 million, subject to adjustment under certain circumstances.
The transaction is expected to close late in the fourth quarter of 2026 or during the first quarter of 2027, subject to the satisfaction of customary closing conditions, including regulatory approvals and the approval of the shareholders of Huron Valley. Arbor Bancorp anticipates supporting the transaction with existing capital and the transaction does not have any associated financing contingency.
The combined organization will have approximately 360 employees across 21 locations in Washtenaw, Livingston, Oakland, and western Wayne counties and $3.8 billion in total assets.
“We have been looking for strategic opportunities to deploy our excess capital and expand Bank of Ann Arbor’s growth-focus to deepen our presence in attractive nearby markets, and we believe we’ve found the right strategic partner with Huron Valley State Bank,” says Tim Marshall, executive chairman and CEO of Bank of Ann Arbor.
“By bringing together two high-performing and like-minded community banks who share a commitment to serving their local communities, we will continue to provide individuals and businesses with excellent service and a full range of financial services. This acquisition provides us with a well-established footprint and customer base in Milford and Highland, and we intend to capitalize on Huron Valley’s investment and growth plans for Northville. We also look forward to bringing our full suite of products to our new customers, including equipment finance as well as trust and investment management services.”
Bank of Ann Arbor has acquired and integrated five financial services acquisitions, including the Birmingham branch of Nicolet Bank in February 2022; First National Bank in Howell in November 2021; Bank of Birmingham in Birmingham in January 2017; New Liberty Bank in Plymouth Township in May 2010; and UniFi Equipment Finance in Ann Arbor in January 2013.
“Since our founding, our organization has remained committed to disciplined growth while consistently putting the needs of our customers and communities first,” says Jack Shubitowski, president and CEO of Huron Valley State Bank. “Partnering with Bank of Ann Arbor, a local institution that shares our philosophy and commitment to community banking, represents a natural next step in strengthening our franchise and positioning us for long-term success in an evolving financial services landscape.
“The combination of our two well-established organizations will create meaningful opportunities for our customers by providing access to a broader range of banking products and services. We are particularly excited about the enhanced ability to support our customers’ growth through Bank of Ann Arbor’s larger legal lending limit, wealth management and trust capabilities, and expanded equipment financing solutions.”
Shubitowski will continue to serve with the combined bank to ensure a smooth transition following the conclusion of the transaction.
