MIFFLINTOWN, Pa. and SHIPPENSBURG, Pa. (May 12, 2023) – The Juniata Valley Bank, a wholly-owned subsidiary of Juniata Valley Financial Corp. (OTCQX:JUVF) (“Juniata”), and Orrstown Bank, a wholly-owned subsidiary of Orrstown Financial Services, Inc. (NASDAQ: ORRF) (“Orrstown”), announced the completion of Juniata’s purchase of Orrstown’s Path Valley branch, located at 16400 Path Valley Road in Spring Run, PA. The transaction closed today pursuant to the Purchase and Assumption Agreement between the parties, the execution of which was previously announced on December 23, 2022 by the parties.
Pursuant to the terms of the transaction, Juniata purchased certain assets, including the branch premises and equipment, from Orrstown. Juniata also assumed deposit liabilities totaling approximately $18.8 million from Orrstown. No loans were purchased or sold in the transaction.
“We are pleased to add the Path Valley location to our footprint, as it relocates and broadens our presence in the market and allow us to better serve our valued customers. The acquisition demonstrates our commitment to rural markets and to shareholders, as the consolidation of our Blairs Mills office into Path Valley creates operating efficiencies. The Path Valley central location will serve a larger market and allow for expanded services and personalized customer interaction” said Marcie Barber, Juniata’s President and Chief Executive Officer.
“Both Orrstown and Juniata believe that the sale is an example of two community banks coming together on a transaction to produce a favorable result for the Path Valley Community. We are pleased that the sale will allow the businesses and residents of Path Valley to continue to enjoy in-person branch banking services, while accomplishing Orrstown’s strategic objectives and delivering value to our shareholders,” commented Thomas R. Quinn, Jr., Orrstown’s President and Chief Executive Officer.
A welcome kit, which includes information about changes to their banking accounts, cards, checks, CDs, and other relevant details, has been provided to all impacted branch customers.
Barley Snyder LLP served as legal counsel to Juniata and Pillar + Aught served as legal counsel to Orrstown in connection with the transaction.