Dive Brief:
- Fitchburg, Massachusetts-based Rollstone Bank & Trust and its parent, Rollstone Bancorp, will merge into River Run Bancorp, giving the Newburyport-based organization a third mutual community bank, River Run announced last week.
- Rollstone will add 10 locations and more than $900 million in assets to River Run, including a wealth management and trust services division unique among local banks, River Run said.
- With the merger, Rollstone CEO Martin Connors Jr. will retire, effective in mid-2025. The bank’s chief operating officer, Mary Beth Jokela, will then lead the bank as its first woman president, River Run said.
Dive Insight:
Financial terms of the transaction were not disclosed, though deals between depositor-owned banks such as River Run’s often do not involve financial consideration.
The transaction is expected to be complete in the first half of next year.
Rollstone’s addition is set to push River Run’s asset total past $3.5 billion, with 20 branches in northeastern and central Massachusetts and southern New Hampshire. It would also mark the second mutual merger in Massachusetts over the past few months. Holyoke-based PeoplesBancorp and Worcester-based SSB Community Bancorp agreed in June to merge.
Newburyport Bank and Pentucket Bank established River Run last year to consolidate back-office operations, offer additional products and services, and achieve scale, the organization said. Like Newburyport and Pentucket, Rollstone will continue to operate under its name and brand after the merger and retain its local headquarters, management, retail and lending operations, charitable organizations and its own board, River Run said.
“As community banks face challenges that could impact their long-term sustainability, River Run provides the structure for them to not only survive but thrive,” River Run CEO Lloyd Hamm said in a statement. “We are thrilled to welcome Rollstone to the River Run family and are confident that … we will continue to support the evolution of community banking.”
Connors will serve a two-year term as the executive chair of Rollstone’s board after his retirement. He will also serve as vice chair of River Run’s board.
“Joining forces with Newburyport Bank and Pentucket Bank, and becoming part of the River Run family, will afford us the opportunity to enhance our service offerings and build an even stronger Bank for the future,” Connors said. “Our dedication has never wavered, nor has our commitment to maintaining our mutuality.”
