Superior National Bank and Trust to acquire Main Street Bank for $42m
Keweenaw Financial, the parent company of Superior National Bank and Trust has agreed to acquire rival Michigan-based bank holding firm North Star Financial and its subsidiary Main Street Bank for $42 million.
While Superior National Bank and Trust, which was founded in 1890, holds more than $575 million of assets under management, Main Street Bank manages assets of more than $280 million.
Based in Bingham Farms, Main Street Bank was established in 2005. It operates in six locations, of which there are two retail branches, three mortgage loan offices, and a commercial loan office, all serving the southeast region of Michigan.
Main Street Bank offers personal and commercial banking services.
Post-acquisition, the combined assets managed by the organizations are expected to be more than $800 million with 11 bank branches and four loan origination offices across the Upper Peninsula and southeast Michigan.
The acquisition enables Superior National Bank and Trust to add Main Street’s residential mortgage division, and the enlarged bank after the closing of the acquisition will have a larger lending capacity.
Dave Vlahos – President and CEO of Superior National Bank said: “This acquisition brings two strong banking teams together and gives us greater capacity to invest in better products and services for our customers. We’re expanding our geography and service area as well as enhancing our team with a larger suite of banking products and tools to better serve customers.
“The long-term impact is smart, measured growth for Superior National, with continued high levels of customer satisfaction at the center.”
Currently, there will be no changes to locations or service lines as a result of the transaction. The headquarters of the combined organization will be in Hancock.
Jeff Kopelman – President and CEO of Main Street Bank said: “This combination is a great fit for Main Street Bank and our customers. We look forward to working together in expanding our combined reach throughout Michigan.
“Our shared history as Michigan-based, locally focused community banks was a critical piece of our board’s decision to approve the acquisition. We are excited about the opportunities Superior National brings to our customers, our staff, and the local communities we serve.”
Superior National Bank and Trust’s advisors in the deal were Charter Capital Partners, John Hecht Consulting, and Olejniczak Advisors, with Warner Norcross and Judd being the legal advisor.
Main Street Bank, on the other hand, was advised by McQueen Financial Advisors, while Kus Ryan and Associates and Seyburn Kahn were the legal advisors.
Once the customary closing conditions are met and regulatory approvals are received, the transaction is expected to be wrapped up in Q1 2020.