The transaction doubles the asset size of Kensington Bank and allows State Bank of Cokato to operate as a branch of Kensington Bank.
Leonard, Street and Deinard is pleased to announce the successful sale of State Bank of Cokato’s operating assets to Kensington Bank. The $52 million transaction, which closed on April 1, 2012, doubles the size of Kensington Bank and extends its reach into the community of Cokato, Minnesota. The sale also resolves several outstanding banking regulatory matters involving State Bank of Cokato and its holding company, Cokato Bancshares, Inc.
Attorneys James J. Sticha and Adam D. Maier led the Leonard, Street and Deinard team and advised State Bank of Cokato on the structuring, negotiation and closing of the sale. In addition, Leonard, Street and Deinard will represent State Bank of Cokato in its voluntary liquidation post-closing and will continue to represent its holding company, Cokato Bancshares, Inc., as it winds down its operations and terminates its status as a bank holding company regulated by the Board of Governors of the Federal Reserve.
State Bank of Cokato was founded in 1892. In recent years, State Bank of Cokato had been marketing the bank for sale. Leonard, Street and Deinard advised and represented the bank and holding company through the sale process and related regulatory matters. The sale to Kensington Bank allows State Bank of Cokato to operate as a branch of a well-capitalized and fast growing community bank.
Leonard, Street and Deinard’s Community Banking practice provides a full range of legal services to community banks throughout the Upper Midwest. We regularly advise community bank owners, bank and holding company boards, senior management, commercial loan officers and compliance personnel on all aspects of bank operations. Regardless of whether your institution is a closely held bank in a small town or a regional bank based in a metropolitan area, our community banking attorneys will be a valuable resource to assist with your bank’s strategic, regulatory, lending and litigation needs.