GALLIPOLIS, Ohio and ZANESVILLE, Ohio, April 18, 2019 — Ohio Valley Banc Corp. (“Ohio Valley”) [Nasdaq: OVBC] and North Valley Bancshares, Inc. (“North Valley”) today announced that The Ohio Valley Bank Company (“Ohio Valley Bank”), a wholly-owned subsidiary of Ohio Valley, has entered into a purchase and assumption agreement to sell branches in Mount Sterling and New Holland, Ohio, to North Valley Bank, a wholly-owned subsidiary of North Valley.
The purchase and assumption agreement provides for the transfer by Ohio Valley Bank to North Valley Bank of approximately $26.4 million in deposits, the land and buildings associated with both Ohio Valley Bank branches and other assets in exchange for the net book value of such other assets and a deposit premium equal to 5.00% of the average daily deposits for the 30 days preceding closing.
The purchase of the branches by North Valley Bank is subject to regulatory approval and satisfaction of certain conditions. North Valley Bank expects to close on its acquisition of the two Ohio Valley Bank branches in the second half of 2019, at which point they will be converted to operate under the North Valley Bank name. Jim Nicholson, President and CEO of North Valley remarked, “This transaction fits our strategic focus of enhancing our presence in central Ohioand is the continuation of our expansion around our current small business lending team in Columbus. We are excited to bring our personalized and relationship based banking model to these communities.”
Boenning & Scattergood, Inc. and Vorys, Sater, Seymour and Pease LLP are acting as financial advisor and legal advisor to Ohio Valley, respectively. North Valley is being represented by the law firm of Dinsmore & Shohl LLP.
About Ohio Valley Banc Corp.Ohio Valley is the parent company of Ohio Valley Bank, which currently operates 18 offices throughout Ohio and West Virginia. Headquartered in Gallipolis, Ohio, Ohio Valley Bank has served its communities for 146 years, making it one of the oldest banks in the state. Ohio Valley also owns Loan Central, a finance company specializing in tax preparation and loans with six offices in southern Ohio. Ohio Valley Bank provides checking and savings accounts, CD’s, IRA’s, trust services and home, business, mortgage, personal, auto, and education loans to retail and commercial customers in its communities. Ohio Valley Bank is a member of the Federal Deposit Insurance Corporation (“FDIC”). For more information about Ohio Valley, Ohio Valley Bank and Loan Central, please visit www.ovbc.com and www.myloancentral.com.
About North Valley Bancshares, Inc.North Valley is the parent company of North Valley Bank, a local community bank committed to serving Muskingum, Perry, Morgan and Licking Counties. Originally established as The Bank of Corning Company during the oil boom in the Village of Corning, Ohio by local area business leaders, North Valley Bank has operated as a locally-owned community-oriented commercial bank since 1904. North Valley Bank provides its local businesses with checking and savings accounts, commercial real estate, term and agricultural loans, lines of credit, treasury management and investment services. North Valley Bank retail products and services include checking, savings and investment accounts, mortgage, home equity, auto and consumer loans, credit cards and online banking. North Valley Bank is a member of the Federal Deposit Insurance Corporation (“FDIC”). For more information about North Valley and North Valley Bank, please visit www.nvboh.com.
Ohio Valley Banc Corp. Investor Relations Contact: Scott Shockey, Senior Vice President and CFO, (740) 446-2631, SWShockey@ovbc.com
North Valley Bancshares, Inc. Investor Relations Contact: Jim Nicholson, President and CEO, (740) 450-2265, jnicholson@nvboh.com,
SOURCE Ohio Valley Banc Corp.
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