Civista to buy Comunibanc in northwest Ohio

Civista Bancshares in Sandusky, Ohio, has agreed to buy Comunibanc in Napoleon, Ohio. 

The $3 billion-asset Civista said in a press release Monday that it will pay $50.2 million in cash and stock for the $329 million-asset parent of Henry County Bank. The deal, which is expected to close in the second quarter, priced Communibanc at 152% of its tangible book value.

Comunibanc has seven branches, $276 million of low-cost core deposits and $165 million of loans in northwest Ohio. 

“We have known the Comunibanc team for a very long time and have always admired the franchise and their strong and stable presence in their local communities,” Dennis Shaffer, Civista’s president and CEO, said in the release. “The current Civista team has significant experience operating in the northwest Ohio market.” 

One Comunibanc director will join the Civista Bank board. 

The deal is expected to be 10% accretive to Civista’s 2023 earnings per share. It should take less than three years for Civista to earn back any dilution to its tangible book value. 

Civista plans to cut about 40% of Comunibanc's annual noninterest expenses, or roughly $3.2 million. The company expects to incur $5 million of merger-related expenses.

Stephens and Dinsmore & Shohl advised Civista. ProBank Austin and Shumaker, Loop & Kendrick advised Comunibanc.