The transaction is an in-market transaction that will expand S&T Bancorp’s existing footprint in Westmoreland and Allegheny Counties, Pennsylvania. The combined company will have over $4.1 billion in assets and improve its market share to approximately 12% in Westmoreland County.
Under the terms of the merger agreement shareholders of IBT Bancorp will receive $31 per share in cash or between 0.93 and 0.97 shares of S&T Bancorp common stock with the precise number based upon the average closing price for S&T Bancorp common stock.
Pursuant to the terms of the merger agreement, shareholders of IBT Bancorp will have the opportunity to elect to receive for each share of IBT Bancorp common stock they own, either S&T Bancorp common stock, cash or a combination of cash and shares of S&T Bancorp common stock. It is expected that the merger will be consummated in the second quarter of 2008.
James Miller, chairman and CEO of S&T Bancorp, said: We are pleased to be able to partner with an organization such as IBT Bancorp. Both companies have earned a great reputation in the market, provided exceptional historical returns to our shareholders and have a common culture. The combination of talent, locations and increased presence in the market will enable us to better serve our customers in Westmoreland County and all of western Pennsylvania.
