Massachusetts-based Hometown Financial Group is acquiring Primary Bank, a publicly-traded commercial bank based in Bedford, N.H.
The transaction, valued at about 160 million, will expand Hometown’s presence in southern New Hampshire.
It will also prompt the reorganization of the bank from a mutual holding company to the stock holding company.
Hometown Financial, based in Easthampton, Mass., is the holding company for bankESB, bankHometown, and TruNorth Bank. But following this merger, the three bank brands will all fall under the TruNorth Bank name, subject to regulatory approvals. The rebranding to TruNorth is scheduled to occur in August.
The acquisition of Primary Bank will add approximately $743 million in assets and four New Hampshire locations to TruNorth Bank’s existing 55 branch network. Those four branches are in Bedford, Derry, Manchester, and Nashua. After closing, the company will have 59 TruNorth Bank retail locations, including the Primary branches, across Massachusetts, southern New Hampshire, and northeast Connecticut
“We’re thrilled to welcome Primary Bank’s customers, employees, and communities to Hometown Financial Group and TruNorth Bank,” Matthew Sosik, CEO and chairman of Hometown Financial and the unified TruNorth Bank, said. “This merger is another important step in our strategy to grow with purpose. It increases our presence in southern New Hampshire, and we’re eager to build on the outstanding success of Primary Bank by adding our strength, resources, and community banking commitment to its employees and customers.”
Customers of both banks will benefit from broader access to banking services and digital solutions, along with a larger branch and ATM network and expanded lending capabilities.
“Expanding our community presence while delivering superior customer service is what TruNorth Bank is all about,” Michael Wheeler, TruNorth Bank’s current president and CEO, said. “The merger with Primary Bank allows us to continue doing just that. Together, we will be better positioned to compete, innovate, and grow—and to help Primary Bank’s business customers in New Hampshire do the same.”
Primary Bank customers also will gain access to the residential mortgage products and services offered through Hometown Mortgage, an affiliate of Hometown Financial Group. Hometown Mortgage will be renamed TruNorth Mortgage in August.
“We are so pleased to be joining Hometown Financial Group and TruNorth Bank and are truly excited about what’s ahead for our employees, customers, and communities in the Granite State,” Primary Bank Chairman William Greiner said. “Primary Bank has achieved tremendous success since opening as a de novo bank, and this partnership represents the next logical step in ensuring our long-term success while continuing to meet customers’ evolving needs.”
As part of the plan to convert to a public company, Hometown MHC and Hometown will cease to exist and TruNorth Bank will become a wholly owned subsidiary of Hometown Financial Group.
The company will offer for sale shares of its common stock to depositors of TruNorth Bank and certain insiders in a subscription offering. Eligible account holders of TruNorth Bank as of the close of business on June 30, 2025, will have first priority non-transferable subscription rights to subscribe for shares of common stock of the company. The total number of shares of common stock of the company to be issued in the proposed stock offering will be based on the market value of the common stock of the company.
Also, as part of the conversion, Hometown will establish a new charitable foundation, which will be funded with a number of shares equal to 4 percent of the shares sold in the stock offering.
The conversion and the merger are expected to be completed concurrently in the first quarter of 2027. Both the merger and conversion are subject to regulatory and shareholder approvals.