Community Bank System in DeWitt, N.Y., has agreed to buy Elmira Savings Bank in New York.
The $14.8 billion-asset Community Bank System said in a press release Monday that it will pay $82.8 million in cash for the $648.7 million-asset Elmira. The deal, which is expected to close in the first quarter, priced Elmira at 164% of its tangible book value.
Elmira has 12 branches, $551.2 million of deposits and $465.3 million of loans.
The acquisition “will enhance and extend our banking footprint in the Finger Lakes Region, across markets which we successfully compete in and aspire to continue to grow our business,” Mark Tryniski, Community Bank System’s president and CEO, said in the release.
Community Bank System plans to cut a third of Elmira’s annual noninterest expenses, or $5.8 million. The company expects to incur $11 million of merger-related charges.