Kalispell-based Glacier Bancorp Inc. has signed an agreement to acquire Inter-Mountain Bancorp Inc., the bank holding company for First Security Bank, a community bank based in Bozeman.
The acquisition marks Glacier’s 20th acquisition since 2000 and its ninth announced transaction in the past five years. First Security Bank provides banking services to individuals and businesses throughout Montana with 11 banking offices located in Bozeman, Belgrade, Big Sky, Choteau, Fairfield, Fort Benton, Three Forks, Vaughn and West Yellowstone. As of Sept. 30, First Security Bank had total assets of $1.0 billion, gross loans of $658 million and total deposits of $874 million.
The boards of Glacier and Inter-Mountain unanimously approved the transaction, which is subject to regulatory approval and other customary conditions of closing. The definitive agreement provides that upon closing of the transaction, each share of Inter-Mountain common stock is expected to be exchanged for 22.841 shares of Glacier common stock (4,654,151 Glacier shares in the aggregate). Based on the closing price of $37.26 for Glacier shares on Oct. 26, the transaction would result in an aggregate value of $173.4 million.
Upon closing of the transaction, which is anticipated to take place in the first quarter of 2018, First Security Bank will become a new bank division of Glacier, and will be headquartered in Bozeman. Big Sky Western Bank, Glacier’s existing Bozeman-based banking division, will combine with the new First Security Bank banking division. The agriculture-focused northern branches of First Security Bank, located in the area known as the Golden Triangle, will combine with Glacier’s First Bank of Montana banking division.
“We are proud to be adding First Security Bank to the Glacier family of banks,” Glacier Bancorp President and Chief Executive Officer Randy Chesler said in a press release. “This is a unique opportunity to expand our presence in the fast-growing Bozeman market by creating the leading community bank in the area by combining Big Sky Western Bank with First Security to operate under the First Security Bank name.