(RTTNews) – First Internet Bancorp (INBK), the parent company of First Internet Bank, said First Century Bancorp has terminated the agreement and proposed merger between the two companies.
Pursuant to the agreement, completion of the merger was expected to occur no later than April 30, 2022.
The Federal Reserve Board of Governors approved the merger on April 29, 2022, but the parties were prevented from closing immediately after due to statutory timeouts. The parties could not agree on the terms of the extension; First Century terminated the agreement on May 1, 2022.
First Internet Bancorp said it could not come up with a mutually agreeable increased purchase price in exchange for an extension. It will not support the excessive deployment of capital without a clear and probable path to an acceptable return on investment. He remains resolutely committed to increasing shareholder value.
In November 2021, First Internet Bancorp had agreed to acquire First Century Bancorp, the parent company of First Century Bank, NA for $80 million in cash.
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