A reshuffling of bank branches through mergers and acquisitions has increased the size of two banking institutions with Columbus operations, but led to the disappearance of one established name.
Five bank branches — four in Columbus and one in Greensburg — that had been part of Greensburg-based MainSource Financial Group’s network are now officially owned by Jasper-based German American Bancorp Inc.
German American agreed to buy the branches because MainSource had to sell them as a condition of its merger with Cincinnati-based First Financial Bancorp., which was finalized April 1.
The expanded First Financial now operates four branches in Columbus, one in Hope and one in the Taylorsville/Edinburgh area:
125 Third St., Columbus
707 Creekview, Columbus
3950 Jonathan Moore Pike, Columbus
2531 Eastbrook Plaza in Columbus
8475 State Road 9, Hope
3880 W. Presidential Way, Edinburgh
First Financial completed the conversion of MainSource Financial Group into First Financial over the Memorial Day weekend. MainSource banking centers were closed during the conversion, but reopened Tuesday under the First Financial name.
“We open our doors as a stronger organization with an increased depth of products, services, talent and size to compete in a rapidly evolving industry,” said Archie Brown Jr., CEO of First Financial Bank.
The merged bank has assets of about $14 billion, and the merger created scale needed for continued growth, according to First Financial.
“It marks the beginning of an exciting new chapter for our bank,” said Claude Davis, executive chairman of First Financial Bank.
German American previously had one office in Columbus, in the retail space of The Cole apartments building at 240 Jackson St.
With the acquisition of the four Columbus branches, German American put on hold plans to build a new branch this year on a 1.03-acre parcel of property it owned at 2737 Central Ave., the former Ahlemeyer Farms Old Time Bakery.
First Financial expressed interest in the property to German American and purchased it with the intent of building another bank branch, German American Chairman and CEO Mark A. Schroeder said.
First Financial bought the property May 18 for $1.17 million, said Karen Woods, First Financial’s general counsel.
First Financial plans to move its Eastbrook operation in Columbus to the Central Avenue property at an undetermined time in 2019, Brown said. The company said its Eastbrook location does not offer what the Central property does in terms of location, access and nearby retail, Brown said.
Previously, MainSource reached an agreement with the U.S. Department of Justice to sell five branches because of federal rules about monopolies and competition, and limits on the concentration of deposits by one banking company in one market.
Jasper-based German American Bank agreed Feb. 13 to buy these MainSource branches:
Columbus downtown, 529 Washington St.
Columbus north, 1901 25th St.
Columbus west, 2310 W. Jonathan Moore Pike
Columbus drive-through, 803 Washington St.
Greensburg Plaza, 304 E. 10th St.
The transfer of about $175 million in deposits and $120 million in loans occurred May 18, according to German American. The five branches began operating under the German American name May 19 and the transaction became official May 21, German American said.
On May 25, German American purchased from MainSource the 25th Street property for $2.4 million, the Jonathon Moore Pike property for $2.2 million and the 803 Washington St. property for $800,000, according to county property records. German American also assumed the branch-office lease for the 529 Washington St. property, Schroeder said.
“We are extremely pleased to welcome the Columbus and Greensburg customers and employees to German American,” Schroeder said. “We look forward to continuing to grow our presence in both Columbus and Greensburg in the coming months and years.”
