ChoiceOne Financial Services, Inc. completes acquisition of Community Shores Bank Corporation

On July 1, 2020 ChoiceOne Financial Services, Inc. (NASDAQ: COFS) (“ChoiceOne”) announced the completion of the merger of Community Shores Bank Corporation (“Community Shores”) with and into ChoiceOne, effective as of July 1, 2020. The combined organization is the 12th largest bank holding company in Michigan based on asset size, with approximately $1.7 billion in assets and 33 offices across Michigan.

At the effective time of the merger, each share of Community Shores common stock was converted into the right to receive certain merger consideration as follows: (i) each share for which a cash election was made was converted into the right to receive an amount of cash equal to $5.00, and (ii) each share for which a stock election was made or for which no election was made was converted into the right to receive 0.17162 shares of ChoiceOne common stock. In the aggregate, 26.1% of the shares of Community Shores common stock outstanding as of the effective time of the merger were converted into the right to receive cash and 73.9% were converted into the right to receive ChoiceOne common stock. The aggregate value of the merger, based on the closing price of ChoiceOne common stock on June 30, 2020 of $29.56, is $20.88 million.

The combined organization will be headquartered in Sparta, Michigan. ChoiceOne Bank and Community Shores Bank are expected to be consolidated in the fourth quarter of this year and the consolidated bank will operate under the ChoiceOne name.