First National Bank of Green Forest announced its pending acquisition of the competitor in a press release issued Wednesday afternoon.
According to the release, First National Bank of Green Forest has agreed to purchase the office, deposit accounts, and certain other assets associated with First Federal, pending regulatory approval.
The deal is expected to go through by June, though a closing date had not been set as of Wednesday.
The announcement was made jointly by leaders of both banks. Chris Wewers, president and chief operating officer of First Federal, and Steve Stafford, chairman, president, and chief executive officer of First National described the pending transaction as "mutually beneficial."
Bank officials said customers of the Berryville office should continue to conduct business as normal. Once the date for the closing is established, they said, customers will be notified and the banks will give advance notice of any pending changes that will affect customers.
"We will work together with First National Bank to ensure a seamless transition for our customers," Wewers said. "For now, it will continue to be business as usual for both the employees and customers of the Berryville office."