bankHometown and Millbury Savings Bank to merge creating a $1 billion community bank with 15 offices

Oxford and Millbury, Massachusetts – Matthew S. Sosik, President and CEO of bankHometown, and Robert J. Morton, President and CEO of Millbury Savings Bank, announced today that the banks have signed an agreement to merge operations under the bankHometown name. The combined bank will have approximately $1 billion in assets and 15 branch offices located throughout central Massachusetts and northeastern Connecticut.

“We are excited to welcome Millbury Savings Bank’s customers, employees and communities to the bankHometown family,” said Matthew S. Sosik, President and CEO of bankHometown. “This merger will expand our presence into the Worcester and Millbury markets and will add a team of talented bankers to bankHometown.”

“Merging with bankHometown allows us to provide our customers with increased lending capacity, an extended branch and ATM network, and an expanded offering of products and services,” said Robert J. Morton, President and CEO of Millbury Savings Bank. “At the same time, and even more importantly, our customers will see the same familiar faces every day.”

There will be no staff reductions or branch closures resulting from the merger. The impact to customers is expected to be minimal as both banks share the same core processor. 

After the closing, Morton will lead the combined bank as its President and CEO. In addition, Morton and five members of the Millbury Savings Bank board of trustees will join the bankHometown board of directors.  bankHometown is a wholly-owned subsidiary of Hometown Financial Group. Morton and one other Millbury Savings Bank board member will join the Hometown Financial Group board of directors. bankHometown will remain headquartered in Oxford. As part of the Hometown Financial Group family of banks, which includes bankESB, bankHometown, and Pilgrim Bank, the combined bank will benefit from the shared resources of a larger institution while operating independently in its own market area.

“We have a proven track record of success with our operating model,” Sosik said. “Banks under our Hometown Financial Group umbrella benefit from access to highly-skilled executives and support teams. This allows the bankers at each of our subsidiary banks to focus their efforts on growing market share and providing best in class banking products, services and solutions to customers,” he said. Following the merger with Millbury Savings Bank, Hometown Financial Group will have approximately $3 billion in consolidated assets and 32 branch offices operating across Massachusetts and northeastern Connecticut. Following the merger, Sosik will continue in his role as CEO of both bankESB and Hometown Financial Group.

The merger agreement has been unanimously approved by the boards of bankHometown and Millbury Savings Bank. The transaction is expected to close in the fourth quarter of 2019, subject to the receipt of required regulatory approvals and other customary closing conditions. Customer deposits will continue to be fully insured through the Federal Deposit Insurance Corporation (FDIC) and the Share Insurance Fund (SIF).

The merger with Millbury Savings Bank will mark the third transaction that will close in 2019 for Hometown Financial Group. On January 31st, the Company closed on its acquisition of Pilgrim Bancshares, Inc. This was followed by the announcement on February 6th of the merger of Abington Bank and Pilgrim Bank. The closing of that transaction is expected in the second quarter of 2019 and will result in the formation of a $600 million bank with six branches operating in eastern Massachusetts.

Luse Gorman, PC served as legal counsel to bankHometown and Bowditch and Dewey, PC served as legal counsel to Millbury Savings Bank.

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About Hometown Financial Group, Inc.

Hometown Financial Group, Inc. is currently a $2.4 billion multi-bank holding company headquartered in Easthampton, Massachusetts, and is the parent company of bankESB, bankHometown, and Pilgrim Bank. All three banks offer a complete line of commercial, business and consumer products and services to customers through its 27 branches located throughout Massachusetts and northeastern Connecticut. For more information on Hometown Financial Group, please visit www.bankhfg.com.

bankESB was founded in 1869 and is headquartered in Easthampton, Massachusetts. bankESB operates 11 branches located throughout western Massachusetts. For more information, please visit www.bankesb.com.

bankHometown was founded in 1889 and is headquartered in Oxford, Massachusetts. bankHometown has 13 branches located throughout central Massachusetts and northeastern Connecticut. For more information, please visit www.hometowncoop.com.

Pilgrim Bank was founded in 1916 and is headquartered in Cohasset, Massachusetts. Pilgrim Bank has 3 branches in eastern Massachusetts and has entered into an agreement to merge with Abington Bank later this year. For more information, please visit www.bankpilgrim.com.

About Millbury Savings Bank

Millbury Savings Bank was founded in 1854 and is a state-chartered mutual savings bank headquartered in Millbury, Massachusetts, with $228 million in assets and branches in Millbury and Worcester. For more information, please visit www.millburysavings.com.

For more information, please contact:

Hometown Financial Group, Inc.
Dena M. Hall
EVP and Chief Marketing Officer
(413) 779-2215

Millbury Savings Bank
Robert J. Morton
President and CEO
(508) 865-5811

Abington Bank will merge with Pilgrim Bank to create a $600 million community bank with six offices serving eastern Massachusetts

Abington, Massachusetts - Andrew Raczka, CEO of Abington Bank, announced today that Abington Bank will merge with Pilgrim Bank, a member of the Hometown Financial Group, MHC. The transaction is expected to close in the second quarter of this year.  Raczka will lead the merged bank as its CEO.

“We are thrilled to join forces with Pilgrim Bank,” said Raczka. “Our combined resources and expanded branch network will enable us to better serve customers in Plymouth and Norfolk counties.  We will have the size and scale needed to be a meaningful player in this market and be able to offer the products and services our customers need with the local commitment they deserve.  This transaction will allow us to truly set ourselves apart from the competition.”

Hometown Financial Group to Acquire Pilgrim Bancshares

Easthampton, Massachusetts and Cohasset, Massachusetts - Hometown Financial Group, Inc. the holding company for bankESB (Easthampton, MA) and bankHometown (Oxford, MA), and Pilgrim Bancshares, Inc. (OTC: PLRM) have jointly announced today that they have entered into a definitive merger agreement in which Hometown Financial Group, Inc. will acquire Pilgrim Bancshares, Inc. Pilgrim Bancshares is the parent company of Pilgrim Bank, a $263 million Massachusetts-chartered cooperative bank with branches located in the Massachusetts communities of Cohasset and Marion. 

EASTHAMPTON SAVINGS BANK TO PARTNER WITH HOMETOWN BANK

Easthampton, MA and Oxford, MA - Easthampton Savings Bank, the wholly-owned subsidiary of ESB Bancorp, Inc., (ESB) and Hometown Bank, the wholly-owned subsidiary of Hometown Community Bancorp, Inc., jointly announced today that they will form a strategic partnership through the merger of their holding companies.  After this transaction is completed, the combined mutual holding company will have over $1.7 billion in assets and over $180 million in equity capital with a branch network of 23 offices located throughout central and western Massachusetts and northeast Connecticut.  This announcement follows ESB’s 2015 acquisition of the Citizens National Bank in Putnam, CT, and continues a well-constructed growth plan. The two banks will merge mutual holding companies, but will continue to run their banks independently and autonomously.