Both the firms have reached a definitive agreement to this effect.
Under the agreed terms, Mackinac will pay $12.50m for all outstanding stock of FNBER.
Upon completion of the deal, mBank will have gross balance sheet loans of around $700m, $985m in total loans under management and combined core deposits of around $650m.
Based in Wisconsin, FNBER currently operates 3 full-service banking centers in Northern Wisconsin, one each in Eagle River, Three Lakes and Saint Germain. All branches are expected to remain open following the transaction.
The acquisition will increase the total number of mBank branches from 17 to 20. The deal is expected to be completed in the first quarter or early second quarter of this year.
mBank president and CEO Kelly W. George said: "The scale and accretion gained through the transaction should provide additional strength to our operating metrics as well as empower us to further support the local communities we serve, a core component of our mission statement.
"Our website will be continuously updated with useful information throughout the next couple of months as we move toward closing, and customers can expect communication from the bankers in their local offices."
mBank serves individuals and small- to medium-sized businesses with smart financing and depository solutions.
Mackinac was advised by Piper Jaffray and the law firm of Honigman Miller Schwartz and Cohn.
