Lee County Banks and Insurance Companies to Merge
The merger of two banks and two insurance companies in southeast Iowa could be completed by late 2016. Matt Morris, President/CEO of Fort Madison Bank & Trust, said the move will be good for the region.
"It facilitates the opportunity to create a premier community banking and insurance franchise in the Tri-State area by leveraging our combined strengths, assets and people," Morris said.
The businesses involved in the merger are:
- Fort Madison Bank & Trust
- Albers Insurance
- Keokuk State Bank & Trust (KSB Bank)
- KSB Insurance
They will operate under the umbrella of Fort Madison Financial Company, which is the parent company of FM B&T and Albers Insurance, during much of 2016. By the end of the year, they will emerge with a single name and identity.
The merger requires regulatory approval.
Joe Steil, President/CEO of KSB Bank, said the goal was to find a new ownership structure without drastically changing personnel or employment.
“This was a very important aspect of the sale, “ Steil said. "We wanted to partner with a bank that would take care of our employees and make the needs of our customers a priority. We’ve chosen that partner and will work very closely with them to ensure a successful transition.”
The new company is expected to employ about 85 people. It will hold assets of around $265-million.
The companies currently operate in:
- Fort Madison
The banks have each been open for more than 145 years.