Springfield, IL (CAPITOL CITY NOW) – If it seems there are a lot of bank mergers these days, you’re right. Springfield Business Journal executive editor Michelle Ownbey tells the WTAX Morning Newswatch Hickory Point Bank is now going to be part of First Financial Bank.
“For a bank, (Hickory Point) is probably on the smaller end of the spectrum, which is one of the issues,” said Ownbey. “There’s so much regulation and overhead in the banking industry these days, kind of the same thing with credit unions. We’re starting to see a lot of the smaller players get gobbled up by the larger ones.”
Ownbey said Hickory Point – which has just one Springfield location, on West Wabash Avenue – will change its name to First Financial. Closing of the $111 million deal is expected in the fourth quarter of the year. Ownbey said staff and management are expected to stay the same.
“We really believe that the merger will position both entities well going forward,” the SBJ quoted Hickory Point Springfield market manager Jeff Raes as saying. “Banking is continually changing, and it requires scale to invest in things like technology and cyber security and regulatory compliance to ensure the highest level of customer experience. Partnering with First Financial provides Hickory Point Bank with that scale.”
Hickory Point’s parent company, First Illinois Corp., is based in Decatur. First Financial’s parent company, First Financial Corp., is based in Terre Haute, Ind.
