Arrow Financial Corporation announced recently it has entered into an agreement to acquire Adirondack Bancorp, Inc.
Arrow Financial is the parent company of Arrow Bank National Association in Glens Falls, NY. Adirondack Bancorp, Inc. is the parent company of Adirondack Bank in Utica, NY. The companies said both of their boards of directors have approved the agreement and merger plan which will see Adirondack merge with and into Arrow. Officials said the acquisition will extend Arrow’s eight-county footprint in the Adirondack region and into the Mohawk Valley to include Oneida, Herkimer and Franklin counties. The combined company would have pro-forma total assets of $5.4 billion, total deposits of $4.8 billion and total gross loans of $4.1 billion.
“Arrow Bank and Adirondack Bank are two deeply rooted and culturally aligned community banks that share a long-standing commitment to building strong relationships, understanding the important role we play in local economic growth and community support,” David S. DeMarco, Arrow President and CEO, said. “As our company celebrates its 175th anniversary, this strategic acquisition shows Arrow’s commitment to accelerating our growth and expanding our market presence. Bringing together these two institutions allows us to complement Adirondack’s current product offerings with our wealth management and insurance services and deliver meaningful value for our shareholders.”
As part of the acquisition plan, Adirondack shareholders will receive a combination of stock and cash upon closing of the merger with Arrow. Each outstanding share of Adirondack common stock will be converted into more than 1.8 shares of Arrow common stock plus $18.72 in cash. The aggregate implied transaction value of the deal is approximately $89.1 million.
“In Arrow, we have found a partner that shares our own culture and values and, like Adirondack, has a history of providing excellent customer service while supporting the communities it serves,” Rocco F. Arcuri Sr., Adirondack President and CEO, said. “Aligning our two community banks will create a more robust organization equipped for the future while benefitting our customers who will have the local support they expect with access to more products, services and locations. I’m excited to continue with Arrow to further align our mission and help ensure a smooth transition for all involved.”
Arcuri will stay with Arrow as Regional President and will join the Arrow Board of Directors, officials said.
The transaction is expected to close by the end of the second quarter of 2026.