First National Bank of Suffield Plans Merger

SUFFIELD, CT — After serving the Suffield community and neighboring towns for more than 150 years, the First National Bank of Suffield will soon be changing names, pending approval of a merger involving a Massachusetts-based financial institution.

PeoplesBancorp, MHC, the parent company of PeoplesBank, both of Holyoke, Mass., and First Suffield Financial, Inc., the parent company of The First National Bank of Suffield, jointly announced that they have entered into a definitive merger agreement for PeoplesBancorp to acquire First Suffield Financial and PeoplesBank to acquire The First National Bank of Suffield, according to a media release issued Tuesday morning.

Under the terms of the agreement, shareholders of First Suffield Financial, Inc. will receive $12,001.85 in cash per share, representing a total transaction value of approximately $60 million. The merger consideration represents approximately 202 percent of The First National Bank of Suffield's tangible book value as of March 31, 2018, the release stated.

"Our merger with PeoplesBank offers outstanding value for our shareholders and, equally, if not more importantly, assures that our customers and communities will benefit from the wide range of products and commitment to service provided by PeoplesBank," Dr. Douglas Viets, Chairman of the Board of Directors of The First National Bank of Suffield, said in the release. "We look forward to working with the talented people of PeoplesBank to combine the best of both of our organizations."

"Since our organization in 1864, The First National Bank of Suffield has successfully served our customers and the local communities," Joseph Greco, President and CEO of The First National Bank of Suffield, said in the release. "We recognize banking is a rapidly changing industry and to ensure our customers' needs are fulfilled, while not losing our commitment to the communities we serve, we are merging with PeoplesBank and know that it is an organization which shares our commitment to service and community banking."

The transaction is subject to customary closing conditions, including the receipt of state and federal regulatory approvals and approval by the shareholders of First Suffield Financial, Inc. The parties anticipate the transaction will close in the fourth quarter of 2018 or the first quarter of 2019, the release stated.

Following completion of the merger, the current branches of The First National Bank of Suffield will remain open and will conduct business under the trade name "First Suffield Bank, a Division of PeoplesBank," according to the release.

Branches of The First National Bank of Suffield are currently located at 30 Bridge Street, Suffield; 1380 Mountain Road, West Suffield; 3-A Turkey Hills Road, East Granby; and 6 National Drive, Windsor Locks.

File photo credit: Perry Robbin

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