05:58 AM EST, 12/19/2024 (MT Newswires) -- First Commonwealth Financial ( FCF ) and CenterGroup Financial signed a deal under which First Commonwealth will acquire CenterGroup in an all-stock transaction at roughly $54.6 million, the companies said late Wednesday.

Upon deal completion, expected in H1 2025, CenterGroup Financial's CenterBank unit will merge with and into First Commonwealth's First Commonwealth Bank subsidiary.

Under the terms, CenterGroup stockholders will be eligible to receive a fixed exchange ratio of 6.10 shares of First Commonwealth's common shares for each CenterGroup common stock they hold.

The transaction, which has already received approvals from the boards of both companies, is expected to be roughly 2% accretive to First Commonwealth's earnings next year, and about 3% accretive to earnings in 2026 once expected cost savings are fully phased in, according to a joint statement.