Jasper based German American Bancorp announced Monday that the company completed its acquisition of River Valley Bancorp, the parent company of River Valley Financial Bank, of Madison.
The acquisition took effect at 12 noon on Tuesday.
Immediately following the merger of River Valley Bancorp into German American Bancorp, River Valley Financial Bank merged with and into German American’s banking subsidiary.
Each River Valley common shareholder of record as of Tuesday was entitled to receive 0.77 shares of German American common stock and a cash payment of $9.90 for each of their former shares of River Valley common stock, subject to his or her surrender of the old River Valley shares to the exchange agent designated by GAB.
Instructions and forms to accomplish that surrender and exchange process are being mailed by the exchange agent to each of River Valley’s shareholders of record as of Tuesday.
In a release German American Chairman and CEO Mark Schroeder says the company is pleased the merger received the overwhelming approval of the River Valley shareholders and are delighted to welcome River Valley’s customers, employees and shareholders to German American. Schroeder says this combination of the two companies positions GAB to enhance their previously stated objective of expanding their Southern Indiana footprint into the vibrant Southeast Indiana market area.
River Valley has a strong presence with five banking offices in the vibrant and rapidly growing market area of the Indiana side of the Louisville, Kentucky MSA, a market which GAB has recently entered with a commercial loan production office.
They also have banking offices in the Seymour and North Vernon markets, which match-up very well with German’s American growing franchise in the adjacent Columbus market.
Raymond James & Associates served as financial adviser on the transaction to German American and Bingham Greenebaum Doll LLP served as legal counsel.