FIG Partners: Horizon Bancorp Acquiring Franklin, Indiana

In a recent research report published by FIG Partners, Horizon Bancorp (NASDAQ: HBNC) announced an agreement to acquire Franklin, Indiana for $14M, along with paying off its $7.2M in TARP.

In the report, FIG Partners explained, “Shares issued are ~780k under an exchange ratio of 0.54 shares of HBNC for each share of HRTB. HRTB adds just over $230 million in assets, $138 million in loans, and $219 million in deposits (priced near 55 basis points on cost of funds) as of 12-31-11 and increases HBNC's market capitalization by ~15%. Credit quality at HRTB was a 6.1% NPA ratio.” FIG Partners maintains its Outperform rating and $21.15 PT on Horizon Bancorp, which closed Friday at $17.75.