Fidelity Bank to acquire Landmark Community Bank
Feb. 26—Dunmore-based Fidelity Bank announced plans Friday to acquire the Pittston-based Landmark Community Bank for $43.4 million. The sale is expected to close in the third quarter of this year.
Daniel J. Santaniello, president and CEO of Fidelity, said the merger will generate additional jobs and allow the organization to better serve the community.
"Going from a $1.7 billion bank to a $2.1 billion bank will create a need for additional staffing," he said. "With the increased size and scale, it affords us the opportunity to bring ever-evolving technology to the table for our clients and bankers. We'll also be able to invest more capital for small businesses and provide the dream of homeownership."
The news of the acquisition comes on the heels of Fidelity's announcement in December that it plans to establish a new headquarters in downtown Scranton.
The bank received a $2 million state Redevelopment Assistance Capital Program grant to defray the anticipated $8 million to $12 million cost of constructing a facility or renovating an existing building to serve as its new corporate center.
Santaniello said the bank is considering about three sites in the heart of downtown Scranton and both scenarios, building or renovating, are still in play.
The new headquarters would be at least 45,000 square feet, giving the bank room to create additional jobs beyond the 140 that would be consolidated there from existing facilities.
Once the merger is finalized, Fidelity will have 25 community retail banking offices in northeast and eastern Pennsylvania. Santaniello noted the office on North Washington Avenue in Scranton may be consolidated into the corporate headquarters once it's completed.
While there aren't plans to close or consolidate any other offices at this time, he said no decisions have been made.
Landmark Community Bank conducts full-service commercial banking services through five bank centers in Luzerne and Lackawanna counties.
Fidelity Bank has 20 branch offices throughout Lackawanna and Luzerne counties and the Lehigh Valley, along with wealth management offices in Schuylkill County.
Santaniello views the merger as a way for Fidelity to advance its vision of being a viable banking option within the entire Luzerne County market.
Sandy A. Insalaco, chairman of the board at Landmark, believes the merger will be beneficial for all parties involved.
"Partnering with Fidelity reflects our long-term commitment to the local community and our customers," he said. "We believe our customers will benefit from the trusted, well-respected and experienced community bankers at Fidelity, and we look forward to working together."
The deal with Landmark follows Fidelity's acquisition of MNB Corp. and its wholly owned subsidiary, Merchants Bank of Bangor, in May for $51.4 million.
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