Deal Signals Expansion In Capital District
Community Bank System of Dewitt, which operates two dozen branches in the Otsego County area, announced yesterday it is buying Kinderhook Bank Corp. for $93.4 million in cash to “expand its presence” in the Capital District.
Kinderhook Bank, was founded in 1853, brings Community Bank 11 branches across the counties of Albany (3), Columbia (5), Fulton (1), Montgomery (2) and Rensselaer (1). It has total assets of nearly $640 million and deposits of $560 million.
Community Bank entered the Otsego County market in 2010, acquiring the former Wilber National Bank for $101.8 million, adding 22 branch offices to its network. Wilber had assets of $929 million, net loans of $553 million and deposits of $778 million.
Community Bank System (ticker symbol: CBU) has $10.6 billion in assets and more than 230 branches across Upstate New York, northeastern Pennsylvania, Vermont, and western Massachusetts through its main banking unit, Community Bank, N.A.
“Our acquisition of Kinderhook Bank Corp. will extend our banking footprint into the attractive Capital District markets which are similar to the other Upstate New York markets in which we successfully compete,” Mark E. Tryniski, president and CEO.
“Our move to establish a broader and deeper banking presence in this region reflects the relative economic, demographic and geographic attractiveness of the area. This investment also complements the financial commitment we made in 2018 when we added an experienced commercial banking team focused on the greater Albany area.
“We’re pleased with the results of this activity to date and confident that the Kinderhook franchise will further support our efforts to grow our retail and business banking presence in the Capital District,” he said.