Southern Indiana bank being purchased by First Merchants Bank for $241 million

LOUISVILLE, Ky. (WDRB) -- One of the largest banks in the Louisville area is being purchased in a deal worth an estimated $241 million.

First Merchants Bank, based out of Muncie, Indiana, announced in a news release Thursday that it's acquiring Jeffersonville, Indiana,-based First Savings Financial Group in an all-stock transaction, according to reporting from our partners at Louisville Business First.

Once the merger is finalized, First Savings Bank will join First Merchants Bank under a unified brand.

The deal is expected to close in the first quarter of 2026. It will create a combined banking company with about $21 billion in assets and 127 branches across Indiana, Michigan and Ohio.

First Savings currently has 15 banking centers (plus more ATM sites) across southern Indiana and 200 local employees.

CLICK HERE for more information on the merger.

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