BOWLING GREEN, Ohio, Dec. 22 (UPI) -- Sky Financial of Bowling Green, Ohio, Wednesday agreed to acquire Belmont Bancorp. and its subsidiary, Belmont National Bank of Bridgeport, Ohio.
Belmont National Bank is a $297 million commercial bank that operates 12 branches in Belmont, Harrison and Tuscarawas counties in Ohio and Ohio County in West Virginia.
Under the terms of the agreement, shareholders of Belmont will be entitled to cash, shares of Sky Financial, or a combination of both.
Cash consideration is valued at $6.15 per Belmont share and stock consideration is fixed at an exchange ratio of 0.219 shares of Sky Financial for each share of Belmont.
The agreement further provides 72.5 percent of the Belmont shares will be exchanged for Sky Financial common stock, with the remainder of Belmont shares exchanged for cash.
The transaction is valued at $69.2 million, based on Sky Financial's closing stock price as of Tuesday. The agreement provides for the merger of Belmont into Sky Financial, and the subsequent merger of Belmont National Bank with Sky Bank. Sky Bank is Sky Financial's commercial banking affiliate.
