Abington Bank to merge with Pilgrim Bank to create $600m company
Staff Writer |
Andrew Raczka, CEO of Abington Bank, announced today that Abington Bank will merge with Pilgrim Bank, a member of the Hometown Financial Group, MHC.
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The transaction is expected to close in the second quarter of this year. Raczka will lead the merged bank as its CEO.
Abington Bank has significant experience with community bank mergers. Abington Bank merged with Holbrook Co-operative Bank in November of 2016. Just six months later, in May of 2017, Abington announced a second merger, this time with Avon Co-operative Bank.
Today, Abington Bank is a successful $315 million community bank with three branches serving Abington, Avon and Holbrook. After the completion of the merger with Pilgrim Bank, the combined bank will have $600 million in assets and will operate six full-service branches.
At closing, the combined bank will be managed by Raczka and his leadership team and the existing Abington Directors will serve as the board of the combined bank.
The Bank will be headquartered in Abington, Massachusetts and will operate as an independent subsidiary of Hometown Financial Group. Raczka and Paul Sullivan, Chairman of the Board of Abington Bank, will serve on the board of Hometown Financial Group.
Raczka will also serve as President of Hometown Financial Group. The three Pilgrim Bank branches will continue to operate under the Pilgrim Bank brand after the merger.
Under its holding company structure, Hometown Financial Group is able to share resources such as human resources, marketing, facilities management, asset/liability management, investment management, compliance, and information technology with the banks under its umbrella.
All six branches of the merged bank will remain open and customer impact is expected to be minimal as the banks share the same core data processor. ■