Mackinac Financial Corp. in Manistique, Mich., and Lincoln Community Bank in Merrill, Wis., Thursday announced Mackinac will acquire Lincoln for $8.5 million in cash. Mackinac is the holding company for mBank.
“We are extremely pleased to be able to partner with another long-standing, community-focused institution in the state of Wisconsin for our next transaction,” says Kelly W. George, mBank president and CEO, and president of Mackinac. “The increased footprint will allow us to offer an even more expansive banking experience to the northern central Wisconsin markets. We will look to expand current client relationships and move forward in developing new customers in a region where the business ecologies are quite similar to our other Wisconsin and Upper Peninsula of Michigan markets.
“From the entire mBank staff, management, and board of directors, we look forward to working with everyone at Lincoln and making a positive corporate impact for all constituencies within your communities. More details of the transaction will be forthcoming in the next few weeks via the mBank website, mailings, and within the branch offices.”
Lincoln operates two banking centers and had total assets of about $65 million as of March 31. It also had loans of $40 million and deposits of $58 million. The banks will add to mBank’s current 23 Michigan branches and six Wisconsin branches.
“As with our previous two Wisconsin acquisitions in 2016, this transaction is a good strategic fit for the company,” says Paul D. Tobias, chairman and CEO of Mackinac and chairman of mBank. “The branch locations and market cultures complement our current footprint and will move us closer to larger commerce centers in the region. The economics of the deal meet the key metrics we require as a board and management team as well.”
The transaction is expected to close in the third quarter of 2018 and provides that Lincoln will be consolidated into mBank.
MBank has current assets of more than $1.3 billion.