The Westminster-based Union National Bancorp announced yesterday that it was acquiring Barnes-Bollinger Insurance Services Inc., Carroll's largest locally owned insurance company.
R. Wayne Barnes, who will remain president of the 12-person insurance firm in Westminster, said the acquisition won't affect customers' policies, and no layoffs will occur.
"If anything, we could gradually add people," he said. "We will still be locally owned."
Union National Bancorp is the parent company of Union National Bank and operates 10 locations in Carroll County.
"This acquisition provides a vehicle through which we can further develop relationships with the customers of both Union National Bank and Barnes-Bollinger Insurance to deliver a greater range of solutions in meeting our customers' financial service needs," Virginia W. Smith, bank president, said in a statement.
The banking industry has seen a flurry of mergers recently. Announcements include the planned purchase of Carroll County Bank & Trust Co. by North Carolina's BB&T; Corp., and Frederick-based F&M; Bancorp's acquisition of Taneytown Bank & Trust Co.
"If UNB wants to remain competitive it needs all types of financial services, including insurance," Barnes said. "And some of their customers might be referred to us on an informal basis."
Terms of the deal were not disclosed; however, Barnes said it will be a stock transfer with no cash changing hands.
Union National Bancorp reported year-end assets of $284.1 million, up 13 percent over 1997. Its share price remained unchanged yesterday at $35.50.
The insurance firm was formed by the 1984 merger of Barnes Insurance Services Inc. and Edward O. Bollinger Insurance Inc. Barnes is co-owner of the firm, along with brothers Mark E. Bollinger and David S. Bollinger.
The firm handles business, personal, life, group medical, disability and long-term care policies.
Pending approval by shareholders and federal regulators, the deal is expected to close within the next two months.
Pub Date: 2/17/99