Farmers will acquire wealth management firm

Staff report

CANFIELD

Farmers National Bank has entered into an early agreement to acquire Cleveland-based retirement planning consultancy firm National Associates Inc.

If all goes according to plan, the transaction is expected to close in the coming weeks and NAI’s balance sheet would be immediately reflected in the bank’s second-quarter earnings report, according to a news release from Farmers.

“We have plans for a smooth transition, followed by a multiyear growth plan that will complement the synergies and augment the attractive fee revenues of our wealth-management division,” said John S. Gulas, Farmers’ president and chief executive officer.

NAI will retain its corporate name, full staff and current location in Cleveland after the deal closes.

Founded in 1946, NAI is a leading independent consultant to retirement plans and offers actuarial, plan design, compliance and administrative services. The company has 17 employees and its current president, Gerrit C. Kuechle, will stay with the firm for a two-year period.

NAI administers more than 200 retirement plans and has $500 million under management.

The acquisition comes as Farmers looks to build on the momentum of last year, when it grew earnings and chalked up a number of achievements. The bank’s management has said it would begin to examine mergers and acquisitions as a way to grow its business.

“By partnering with Farmers, NAI is able to offer continued stability while introducing additional value-added services to our clientele,” Kuechle said in a statement. “As a successful firm, we felt that a relationship with a strong, sustainable organization is very beneficial for NAI and our clients.”