Peoples Heritage-SIS Bancorp Deal
PORTLAND, Maine (AP) _ Peoples Heritage Financial Group agreed today to acquire SIS Bancorp Inc. of Springfield, Mass., in an exchange of stock valued at $427.7 million.
The merger will create a $12 billion banking franchise and extend Peoples Heritage’s reach into western Massachusetts. It also will give the company its first presence in Connecticut through SIS’ Glastonbury Bank & Trust Co.
Under terms of the deal, SIS shareholders will receive 2.25 shares of Peoples Heritage for each share of SIS common stock. About 16.8 million shares of Peoples Heritage will be issued as part of the transaction.
F. William Marshall Jr. will continue to serve as president and chief executive officer of SIS and will be named vice chairman of the executive management committee of Peoples Heritage.
SIS Bank, which recently acquired Glastonbury Bank & Trust, will continue to operate under its own name.
The agreement, subject to approval of SIS shareholders and regulators, is expected to be completed by the end of the year.
Peoples Heritage, with $9.8 billion in assets, has 194 offices through its three banking subsidiaries: Peoples Heritage Bank in Maine, Bank of New Hampshire and Family Bank in Massachusetts.
SIS has $1.8 billion in assets and the leading market share in Hampden County in Massachusetts.