CLARA CITY — John T. Gill, president and COO of Citizens Alliance Bank, announced that the bank recently reached a deal to acquire 100% of the outstanding stock of Citizens State Insurance Agency, which will become a wholly owned subsidiary of the bank effective June 30, according to a Citizens Alliance Bank news release.
Effective with the change in ownership, the legal name will also be changed to Citizens Alliance Agency Inc.
In addition, Gill announced that Citizens Alliance Bank has entered into a letter of intent agreement to acquire and merge 100% of the Goeman Insurance Agency LLC of Clara City and Montevideo, based in Clara City.
Goeman Insurance Agency and its employees will be merged into the new Citizens Alliance Agency and thereby become part of the Citizens Alliance Bank franchise, expected to occur on Aug. 1. No employees will be displaced by the sale.
Citizens Alliance Agency will continue to offer property and casualty, life and health, as well as crop insurance coverage. The agency will serve the market areas of the bank's existing 12 branch offices in west central Minnesota and western Montana.
Citizens Alliance Bank is a wholly owned subsidiary of Forstrom Bancorporation Inc. which in turn is owned by the Forstrom Brothers. Forstrom Bancorporation has consolidated assets of approximately $925 million. Together Citizens Alliance Bank and Citizens Alliance Agency will employ approximately 175 people in 13 communities throughout west central Minnesota and western Montana.