First Mid Bancshares, Inc. (NASDAQ: FMBH) and Two Rivers Financial Group, Inc. (OTCQX: TRVR) have announced a merger agreement that will expand First Mid’s footprint into key Iowa markets.
Under the agreement, dated October 30, 2025, Two Rivers will merge with First Mid in an all-stock transaction valued at approximately $94.1 million, based on First Mid’s October 29, closing price of $36.80 per share. The deal will give First Mid a strong presence across central and southeastern Iowa.
Two Rivers, headquartered in Burlington, is the parent company of Two Rivers Bank & Trust, which operates 14 branches and manages $1.1 billion in total assets. Established in 1904, the institution has deep roots in Iowa community banking.
Two Rivers shareholders will receive 1.225 shares of First Mid common stock for each TRVR share. The merger has been unanimously approved by both boards and is expected to close in the first quarter of 2026, pending regulatory and shareholder approval.
First Mid projects the transaction will be 12.3% accretive to earnings per share by 2027, with tangible book value dilution expected to be recovered in just over two years.
“We are excited to welcome Two Rivers’ employees, customers, and shareholders to First Mid,” said Joseph R. Dively, Chairman and CEO of First Mid. “This partnership demonstrates our commitment to continued growth and geographic diversification.”
Frank Delaney, Chairman and Interim CEO of Two Rivers, said the merger aligns with the company’s community banking values. Shane Zimmerman, President and CEO of Two Rivers Bank & Trust, will join First Mid as Executive Vice President and Divisional President following the merger.
A presentation outlining the transaction is available at www.firstmid.com