A longtime local bank will soon be under new ownership.
Bank of Fayetteville this week announced it has signed a definitive agreement to be acquired by Farmers and Merchants Bank of Stuttgart.
Officials said the move will be a good thing for customers of both banks.
“With internet banking and new competition redefining the market, we both know that business as usual will no longer win the day,” said Mary Beth Brooks, Bank of Fayetteville President and CEO. “The reality is that we are stronger together than we are apart.”
Brooks said that the move will result in improved technology, and a broader selection of banking products and services.
“This transaction will also provide growth opportunities for our employees, maximize value for our shareholders, and ensure a continued investment in our community,” Brooks said. “These are two like-minded, community-focused institutions joining together to make a greater impact not only on our local communities but also in the level of service and technology that we can offer our customers.”
The Bank of Fayetteville will retain its name and branding, said Lindsay Ramsey, the bank’s marketing director. Ramsey said the bank will continue to operate all current branch locations in Fayetteville, Farmington, West Fork, and Prairie Grove.
Completion of the transaction is subject to certain closing conditions, including regulatory and shareholder approval. Following the successful completion of these steps, it is anticipated the transaction will close during the fourth quarter of 2015.
Farmers and Merchants Bank has approximately $701 million in total assets, and currently operates in seven Arkansas communities: Stuttgart (headquarters), DeWitt, Marianna, Hazen, Des Arc, Perryville and Morrilton.
The Bank of Fayetteville, with assets of approximately $350 million, operates a total of eight branches, with five locations in Fayetteville.
Once the deal is complete, the bank’s total assets will exceed $1 billion.