The sale includes about $47 million in deposit and loan relationships, as well as the physical locations of the banks in Rushford and Lanesboro.
“Acquiring these locations aligns with our long-term vision to provide our banking services to customers across our region,” said Merchants Financial Group, Inc. President and CEO Richard L. Mahoney. “We recognize Rushford and Lanesboro as important communities in terms of our area’s economic development, and we look forward to serving all the financial needs of these important customers.”
Merchants Bank is also acquiring a small pool of agricultural loans and related deposits from the Associated branch in Red Wing. One of the focuses of the Merchants organization is Ag lending. Associated will continue to operate its Red Wing location. Affected customers will be notified individually at a later date.
The sale is pending regulatory approval. Barring complications, Mahoney said he expects the sale to be completed by late November.