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Bank First Corporation and PSB Holdings Merger Agreement

On May 19, 2026, Bank First Corporation, based in Manitowoc, Wisconsin, made headlines with its announcement of a significant merger agreement with PSB Holdings, Inc., the parent company of Peoples State Bank. This strategic move marks a pivotal moment for both community banks as they join forces to better serve their customers in North Central Wisconsin and the greater Milwaukee area.

Highlights of the Merger

The merger combines two strong institutions that are deeply rooted in their communities, emphasizing a shared commitment to relationship-driven banking. Some notable highlights of this transaction include:

• - Strategic Geographic Expansion: The merger allows Bank First to extend its footprint into key markets that have been identified for growth. By integrating their branch networks, both organizations will create a more robust presence and better serve local communities.
• - Increased Financial Capacity: The newly combined entity will boast over $7.6 billion in assets, resulting in enhanced lending capabilities and the ability to better support individuals and small businesses. This growth emphasizes the banks' shared goal of facilitating financial success for their customers.
• - Enhanced Shareholder Value: PSB Holdings’ shareholders are set to benefit significantly, with an expected market premium of over 80%. Additionally, they will gain the liquidity that comes with being part of a publicly traded company recognized for its reliability and consistent dividend payments.

Bank First Chairman and CEO, Mike Molepske, expressed enthusiasm for this partnership, stating, "This merger unites two organizations that emphasize relationship-based banking and our mutual dedication to aiding communities and individuals succeed. Our aligned values and philosophies have made this partnership a natural progression."

Similarly, Scott Cattanach, President and CEO of Peoples, highlighted the advantages of this merger. He noted that while expanding their capabilities, the merger retains local decision-making, reinforcing the community-focused culture both banks pride themselves on.

Benefits for Customers

For customers of both banks, this merger will translate into improved access to services and products. Peoples' customers will benefit from Bank First's advanced digital banking solutions, while Bank First’s clientele will gain from Peoples’ local expertise and service excellence. This collaboration will effectively enhance the banking experience across both networks.

Financial Overview

Prior to the merger, as of March 31, 2026, Peoples State Bank had $1.50 billion in consolidated assets. Combined with Bank First's existing assets, the new entity will handle $7.6 billion, solidifying its position as a major player in the regional banking landscape.

The merger awaits customary closing conditions and regulatory approvals, with expectations for completion by the fourth quarter of 2026.
As per the terms of the agreement, Peoples shareholders will receive shares of Bank First stock based on a set exchange rate, seamlessly integrating the organizations financially.

Expert Opinions

Market analysts view this merger as a strategic initiative that leverages the unique strengths of both institutions to meet growing community banking demands. As regional markets evolve, this merger signals a proactive approach to addressing customer needs through enhanced service offerings and a commitment to local markets.

Conclusion

The agreement between Bank First Corporation and PSB Holdings, Inc. is poised to pave the way for a stronger community banking presence in Wisconsin. Both organizations look forward to combining their strengths, enhancing shareholder value, and providing their customers with an expanded suite of products and services tailored to improving financial wellness in their communities.

As the regulatory and shareholder processes unfold, stakeholders will anticipate the tangible benefits this merger will bring to their communities, customers, and employees alike. With their shared vision and commitment to community service, the partnership promises future growth and excellence in banking.