ChoiceOne Financial Services, Inc. and Fentura Financial, Inc. are set to join forces in a merger, following shareholder approval at separate special meetings on December 12, 2024.
Under the terms of the agreement, Fentura will merge into ChoiceOne, with the latter continuing as the surviving corporation. The combined organization will operate under the ChoiceOne name and brand and be headquartered in Sparta, Michigan.
ChoiceOne CEO Kelly Potes said that the merger affirms the potential benefits for communities, customers, and employees while adding value for shareholders.
"The combined company is expected to leverage efficiencies and pursue growth opportunities within an expanded network across Michigan," said Potes
Meanwhile, Fentura CEO and president Ronald Justice said that the shareholders' endorsement is a confirmation of the strategic vision behind the merger that is dedicated to customer service and community engagement.
"By leveraging our strengths, we look forward to positioning our combined organization as the premier community bank in Michigan," said Justice.
Once finalized, the merger will create a financial institution with approximately $4.3 billion in assets, making it the third-largest publicly traded bank holding company headquartered in Michigan.
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The combined organization will have 56 branches across West and Southeastern Michigan. The transaction is projected to close in the first quarter of 2025, pending regulatory approvals and other customary closing conditions.
ChoiceOne Financial Services, Inc. is the parent company of ChoiceOne Bank. It operates 35 offices across several counties in Michigan, with total assets of $2.6 billion, making it the eighth-largest bank holding company in the state.
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On the other hand, Fentura Financial, Inc. is the holding company for The State Bank, which operates 21 branches across Michigan. It offers a variety of banking and advisory services, including consumer, mortgage, and commercial banking, as well as wealth management.
As the two companies move closer to finalizing the merger, how do you think this consolidation will impact Michigan’s banking landscape? Share your thoughts in the comments below.
