Peoples Bancorp in Ohio signs $208 million deal to expand in Kentucky

Peoples Bancorp in Marieta, Ohio, said Tuesday it has agreed to acquire Limestone Bancorp in Louisville, Kentucky.

Peoples agreed to pay $208.2 million in stock for the $1.5 billion-asset Limestone, which operates 20 branches across 14 counties in Kentucky. It has $1.1 billion of loans and $1.2 billion of total deposits. Peoples currently has 25 branches in the Bluegrass State.

Peoples, which has $7 billion of assets, projected the deal would close in the second quarter of 2023.

The combined company would have $8.5 billion of assets, $5.7 billion of loans and $7.1 billion of deposits. It would have 150 branches across Kentucky, Ohio, West Virginia, Maryland, Virginia and Washington, D.C. 

Peoples Bank Ohio
Peoples Bancorp in Marieta, Ohio, is buying Limestone Bancorp in Louisville to expand its presence in Kentucky.

"We look forward to welcoming Limestone shareholders, employees and customers to become part of the Peoples team, and we are ecstatic to offer additional locations to new and existing Peoples Bank clients," Chuck Sulerzyski, president and CEO of Peoples, said in a press release.

Limestone would be Peoples' fourth bank acquisition since 2018. The company also has acquired several nonbanks over the past few years, including multiple insurance brokers, to diversify its business lines and geographic footprint.

In February, Peoples announced a deal to acquire the equipment financing company Vantage Financial in Excelsior, Minnesota, for $54 million in cash.

Peoples said the Limestone transaction is expected to be immediately accretive to its earnings before one-time costs. It expects to earn bank tangible book value dilution in less than three years.

Peoples was advised by Raymond James and the law firm of Dinsmore & Shohl. Limestone was advised by Piper Sandler and the law firm of Wyatt, Tarrant & Combs.

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