News Releases
The Fountain Trust Company Expands into Illinois with a Definitive Agreement to Acquire The Gifford State Bank
Two Historic Midwest Financial Institutions Will Combine to Expand Presence, Customer Service, and Product Offerings
Covington, IN and Gifford, IL – October 15, 2025 – Piper Holdings, Inc., the holding company for The Fountain Trust Company, and Gifford Bancorp, Inc., the holding company for The Gifford State Bank, announced today that they have entered into a definitive agreement for Piper to acquire Gifford in an all-cash deal. The transaction is expected to close in the first quarter of 2026 with the conversion of accounts happening soon thereafter, subject to the satisfaction of customary closing conditions, including regulatory approvals and the approval of Gifford’s shareholders.
The combined organization is expected to have approximately $850 million in total assets with more than 165 employees across 8 counties in Indiana and Illinois.
Covington, IN and Gifford, IL – October 15, 2025 – Piper Holdings, Inc., the holding company for The Fountain Trust Company, and Gifford Bancorp, Inc., the holding company for The Gifford State Bank, announced today that they have entered into a definitive agreement for Piper to acquire Gifford in an all-cash deal. The transaction is expected to close in the first quarter of 2026 with the conversion of accounts happening soon thereafter, subject to the satisfaction of customary closing conditions, including regulatory approvals and the approval of Gifford’s shareholders.
The combined organization is expected to have approximately $850 million in total assets with more than 165 employees across 8 counties in Indiana and Illinois.
“We have been looking for a strategic acquisition partner that is a natural extension of our current market area in order to ensure we remain an independent community bank for generations to come. In Gifford, we believe we have found the ideal partner”, said Lucas White, President of The Fountain Trust Company. “As a fourth-generation, family-owned community bank based in rural west-central Indiana, we are committed to serving our communities and believe that our communities thrive with the support of a stable, community and customer-focused community bank. This acquisition will enable The Fountain Trust Company to remain an independent community bank and help the communities of Gifford, Saint Joseph, Potomac and Thomasboro thrive for decades to come.”
Tony McLain, President & CEO of Gifford, agrees this acquisition is an exciting opportunity for all stakeholders. “The merging of these two established institutions allows us to provide a broader range of banking services to our customer base, and our larger combined lending limit will allow us to continue to grow and become a bigger player in our communities,” said McLain. “Throughout this process, we wanted to find a partner that would understand the value of our communities and that would continue supporting our customers. We believe we have found the perfect partner in The Fountain Trust Company because they are a family-owned community bank. The Fountain Trust Company values stability, longevity and helping their customers above all else. That mentality will serve our communities well in the long run.”
Piper Holdings, Inc. was advised in this transaction by Performance Trust Capital Partners, LLC as financial advisor and Amundsen Davis LLC as legal counsel. Gifford Bancorp, Inc. was advised by Sheshunoff & Co. as financial advisor and Barack Ferrazzano Kirschbaum & Nagelberg LLP as legal counsel.
About The Fountain Trust Company:
The Fountain Trust Company was founded in 1903 in Covington, Indiana. The bank currently has $670 million in assets with 16 locations across west-central Indiana. The Fountain Trust Company is a fourth-generation, family-owned community bank.
About The Gifford State Bank:
The Gifford State Bank was founded in 1885 as The Morse State Bank. In 1950, the name was changed to The Gifford State Bank and in 2005 became a 100% employee-owned bank. The Gifford State Bank currently has $180 million in assets with four branches proudly serving four communities.
The Fountain Trust Company was founded in 1903 in Covington, Indiana. The bank currently has $670 million in assets with 16 locations across west-central Indiana. The Fountain Trust Company is a fourth-generation, family-owned community bank.
About The Gifford State Bank:
The Gifford State Bank was founded in 1885 as The Morse State Bank. In 1950, the name was changed to The Gifford State Bank and in 2005 became a 100% employee-owned bank. The Gifford State Bank currently has $180 million in assets with four branches proudly serving four communities.