July 08--BURLEY -- D.L. Evans Bancorp is buying the assets of the Boise-based Idaho Banking Co.
D.L. Evans Bancorp, parent company for D.L. Evans Bank, will buy that company's outstanding shares of common stock, pending final approval by U.S. Bankruptcy Court. Terms of the deal allow D.L. Evans to purchase the stock free of liens, claims and encumbrances and assume none of Idaho Bancorp's liabilities.
The transaction is expected to be finalized during the third quarter of 2014 and will be subject to regulatory approval.
"It was really exciting to be a part of this. This was the third successful bankruptcy auction to be held in the country," said John V. Evans Jr., D.L. Evans Bancorp's CEO.
The auction was held at a Boise law firm.
Evans said Idaho Banking Co.'s four branches in the Boise area will add 6,000 customers to his company's base. The branches will be renamed D.L. Evans.
"I think the employees are relieved to have a similar company take over," said Evans. "I think it will be a very successful merger."
He said he hopes no more banks fail. "I think we're in good shape, and the economy is looking strong all around us."
The acquisition will bring the number of D.L. Evans branches in the Boise area to 11 and move the company from 10th to seventh in Idaho for deposit market share.
"We are excited to have reached an agreement with another Idaho headquartered bank," said James Latta, president and CEO of Idaho Bancorp. "D.L. Evans Bank has a strong history of growth and profitability, and this transaction will allow them to continue to expand and serve the Boise community. As a partner, the scale of D.L. Evans Bank will allow them to offer additional products and services to Idaho Banking Co.'s existing customers and employees."
D.L. Evans Bank has grown over the past 110 years to more than $1 billion in assets and $665 million in loans. It has 21 bank branches in southern Idaho, and its 21st now is being built in Ammon, near Idaho Falls.
Evans said the company also just received a charter for a new branch in Caldwell.
"The acquisition of Idaho Banking Co. further enhances our footprint in Idaho's largest city and helps us continue to further solidify our position as the largest bank headquartered in Idaho," he said.
The bank was founded in Albion on Sept. 15, 1904, and the Idaho Banking acquisition is expected to be finalized near that date, Evans said.
"We're going to be having a big celebration on Sept. 15 for our 110th anniversary in business and to celebrate the new Boise branches."
Former Idaho Gov. John V. Evans. Sr. currently is president of D.L. Evans Bancorp and D.L. Evans Bank.
"We are very pleased with the announcement of this transaction," said Gavin Gee, director of the Idaho Department of Finance. "D.L. Evans Bank has a long and rich history as one of Idaho's oldest, very successful community banks, providing outstanding financial services to their valued customers and communities. True to their tradition, this transaction is in the best interests of the communities they serve."
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