Wausau Pilot & Review
PSB Holdings, Inc., the parent company of Peoples State Bank, will acquire Waukesha Bankshares, Inc., the parent company of Sunset Bank & Savings in a $9.6 million cash deal, according to a news release issued this week.
Under the terms of the merger agreement, WBI, as the sole shareholder of Sunset, will receive the cash in exchange for all outstanding common stock.
Located in Waukesha and founded in 1999, Sunset is a private community bank, with one full-service location, and total assets of $141 million as of September 30, 2020. Sunset has loans of $102 million and deposits of $124 million, both as of September 30, 2020. The combined company is expected to have over $1.24 billion in total assets with 10 full-service banking locations in central, northern, and southeastern Wisconsin.
Scott Cattanach, president and CEO of Peoples, said the merger is a perfect complement to a newly-opened bank location in West Allis.
“This merger is another example of our growth strategy into southeastern Wisconsin,” Cattanach said. “We are confident in the benefits to Sunset’s customers through our robust lending capabilities and treasury management services while creating value for our shareholders.”
Sunset President and CEO Bob Eastman will join the PSB Holdings and Peoples board of directors upon completion of the sale, expected sometime in the second quarter of 2021.
Eastman said he has been aware of Peoples’ reputation for years and is impressed by the company’s efforts to establish and grow in the Milwaukee area.
Following completion of the merger, Sunset customers will see a conversion to the Peoples brand in June 2021. Completion of the merger is subject to customary closing conditions, including the receipt of required regulatory approvals and WBI’s shareholders.
The merger will strengthen the combined franchise in southeastern Wisconsin and will offer customers expanded and enhanced products and services, increased lending capacity for Waukesha and Milwaukee counties, and increased community support.
Raymond James acted as financial advisor to PSB Holdings in the transaction, and Boardman & Clark LLP served as outside legal counsel to PSB Holdings. Godfrey & Kahn, S.C., served as legal counsel to WBI.
Peoples currently has nine full-service banking locations in Marathon, Oneida, Vilas, and Milwaukee Counties, as well as commercial loan production offices in Stevens Point. The organization was founded in 1962 and has total assets in excess of $1 billion.
Sunset Bank & Savings was founded in 1999 and has total assets of $141 million.