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HAMILTON — First Financial Bancorp has purchased the operations of Irwin Union Bank and Trust Company and Irwin Union Bank through an agreement with the Federal Deposit Insurance Corporation.
The Indiana Department of Financial Institutions and the Office of Thrift Supervision closed Irwin Friday, Sept. 18, and appointed the FDIC as receiver. First Financial Bancorp’s subsidiary, Hamilton-based First Financial Bank, acquired Irwin’s 27 banking centers that day and reopened them Sept. 19, according to the company.
In total, First Financial acquired branches in nine states, including 13 outside of its core market in California, Nevada, Arizona, Missouri and New Mexico. The transaction includes about $3.2 billion in assets and $2.5 billion in deposits. The deposits are being assumed at a premium of less than 1 percent. Non-performing loans and assets were excluded from the purchase portfolio per the FDIC agreement.
Claude Davis, president and CEO of First Financial, said during a conference call Sept. 21 that officials will evaluate all acquired branches, including those out west, over the next 60 to 90 days to determine if they “fit the company’s long-term strategic plan.”
This is the second time this year First Financial has acquired an insolvent banking company. It took over West Chester Twp.-based Peoples Community Bank’s 19 branches from the FDIC July 31.
While Davis said the bank will continue to pursue growth through acquisitions when good opportunities are presented, the company wants to focus on assimilating the Irwin branches.
“First Financial has been recognized for its stability and its focus on asset quality, liquidity and strong capitalization. Our strong financial position has enabled us to complete this strategic purchase, and we’re confident that we can successfully integrate these banking centers with our existing operations,” he said.
Contact this reporter at (513) 705-2843 or jheffner@coxohio.com.
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