Altura State Bank has signed a deal to merge with the People State Bank of Plainview.
"We are pleased to announce the combination of these two quality banks," said Dick Zabel, board chairman of Peoples State Bank. "Our banks are both family owned and share a similar culture and approach for customers and employees."
The merger is expected to be completed in the third quarter of 2016.
Altura has one branch at 411 Main Street NW in Altura. The bank was founded by the Kramer family in 1910. It now has more than $50 million in assets. That branch will operate under the name of Peoples State Bank.
"The merger will provide our customers with more products and services, while maintaining the small community banking experience they have come to expect," said President and CEO Peter Kramer of Altura State Bank.
Peoples State Bank of Plainview has approximately $200 million in assets and five branches, in Plainview, Elgin and Millville in Minnesota, as well as Boyceville and Menomonie in Wisconsin.
The combined bank, operating as Peoples State Bank of Plainview, expects to have assets of more than $250 million
"We welcome Altura State Bank employees and look forward to working with them as partners in serving the Altura customers," Plainview CEO and President Gary Timm.
Timm took over as president of the bank in January 2014. He took over from Zabel, who became the chairman or the board.