Nasdaq-listed First Financial Bancorp has announced an agreement to acquire Westfield Bancorp from Ohio Farmers Insurance in a cash and stock deal worth $325m.
As per the terms, $260m will be paid in cash and the remainder in approximately 2.75 million shares of First Financial stock. This deal is expected to enhance First Financial’s earnings by 12% and offers a tangible book value earn-back period of roughly 2.9 years.
Based in Cincinnati, Ohio, First Financial is a bank holding company with assets worth $18.5bn as of March 2025. The company operates through its subsidiary, First Financial Bank, providing banking services across four states, which include Ohio, Indiana, Kentucky, and Illinois.
It also offers wealth management services via its Yellow Cardinal Advisory Group division.
Westfield Bancorp is the holding company of Westfield Bank.
Founded in 2001 and located in Northeast Ohio, Westfield Bank delivers an array of personal, business, and insurance agency banking services.
Westfield Bank chairman, president, and CEO Mike Toth said: “Westfield Bank’s growth to become one of Ohio’s largest independently owned community banks has been a tremendous success story.
“We are incredibly proud of the strong relationships we’ve built with our customers and the contributions our banking team has made over the past two decades. This next chapter will create new opportunities for our customers and employees, ensuring the Bank’s continued success for years to come.”
The acquisition will enable First Financial to strengthen its commercial banking and wealth management presence in Northeast Ohio by incorporating all of Westfield Bank’s retail branches and services.
Furthermore, the larger balance sheet of First Financial is expected to offer increased credit capacity for Westfield Bank’s clients and new opportunities for its staff.
Once completed, this acquisition will position First Financial as a $20.6bn institution with enhanced capabilities for serving retail and business clients while maintaining a community focus. All current Westfield Bank locations will remain operational under the First Financial brand post-acquisition.
The transaction is part of First Financial’s strategic growth efforts, which have seen expansions into cities such as Chicago, Cleveland, and Grand Rapids.
First Financial president and CEO Archie Brown said: “This targeted expansion of our commercial, consumer, and specialty banking businesses broadens our ability to serve additional clients, and it opens up new avenues for growth and profitability in an attractive geographical area.
“We are excited about the commercial banking focus of Westfield Bank as well as the complementary nature of Westfield Bank’s speciality lending businesses, which will build upon our existing strengths.”
The deal is anticipated to conclude in Q4 2025 upon meeting regulatory approvals and other customary conditions. No shareholder approval from First Financial is required.
Financial advisory services for this transaction are provided to First Financial by Janney Montgomery Scott and legal counsel by Amundsen Davis. Meanwhile, Ohio Farmers is assisted by Keefe, Bruyette & Woods as a financial adviser and Squire Patton Boggs (US) as legal counsel.
