September 25, 2026

Federal Reserve Board Announces Approval of Application by Peoples Bancorp Inc.

WASHINGTON — In a regulatory decision announced late Friday afternoon, the Federal Reserve Board formally communicated its approval of an application submitted by Peoples Bancorp Inc., headquartered in Marietta, Ohio. The regulatory clearance paves the way for Peoples Bancorp Inc. to proceed with its planned corporate acquisition of Citizens National Corporation, an institutional holding company based in Paintsville, Kentucky.

According to the official announcement released by the central bank at 4:30 p.m. Eastern Daylight Time, the structural transaction will also result in Peoples Bancorp Inc. indirectly acquiring Citizens Bank of Kentucky, Inc., the wholly owned banking subsidiary of Citizens National Corporation, which is likewise rooted in Paintsville.

The regulatory clearance marks a significant milestone in the multi-step financial consolidation process pursued by the participating institutions. Beyond the holding company-level transaction, the Federal Reserve Board also granted official approval for Peoples Bank—the primary banking subsidiary of Peoples Bancorp Inc., also operating out of Marietta, Ohio—to execute a direct bank-to-bank merger with Citizens Bank of Kentucky, Inc.

Under the terms of the structural integration approved by federal regulators, the physical branch locations previously operated by Citizens Bank of Kentucky, Inc. in Paintsville and surrounding communities will be integrated into the broader operational footprint of Peoples Bank. Consequently, Peoples Bank is authorized to establish and operate banking branches at all existing operational sites of the acquired Kentucky institution, ensuring continued financial services availability for local retail and commercial customers in those regions.

The announcement from the nation’s central bank is the culmination of a rigorous regulatory review process standard for bank mergers and acquisitions in the United States. Federal banking agencies, including the Federal Reserve Board, are statutorily required to evaluate proposed transactions involving bank holding companies and insured depository institutions to ensure that the resulting organizations maintain safe and sound banking practices. Regulators also examine potential impacts on competition within relevant financial markets, the convenience and needs of the communities to be served, and the financial and managerial resources of the institutions involved.

Peoples Bancorp Inc. operates as a prominent regional financial services provider, delivering comprehensive banking, trust, investment, and insurance solutions through its primary operating subsidiary, Peoples Bank. With its deep historical roots in Marietta, Ohio, the organization has steadily expanded its footprint across neighboring markets through strategic organic growth and selective mergers. The addition of Citizens National Corporation and its subsidiary, Citizens Bank of Kentucky, Inc., represents an extension of Peoples Bancorp Inc.’s geographic reach southward into Eastern Kentucky, bridging its existing operational network in Ohio with established communities in the Appalachian region.

Citizens National Corporation and Citizens Bank of Kentucky, Inc. have long served as community-focused financial institutions headquartered in Paintsville, Johnson County, Kentucky. Providing traditional retail banking, commercial lending, and deposit services, the institution has played a foundational role in the local economy of Paintsville and the broader regional landscape of Eastern Kentucky. By joining forces with a larger regional organization like Peoples Bancorp Inc., the banking operations in Paintsville are positioned to leverage enhanced technological infrastructure, a broader lending capacity, and an expanded suite of financial products while maintaining local banking relationships.

The regulatory approval granted by the Federal Reserve Board removes a major federal hurdle for the transaction, allowing both institutions to proceed toward final legal and operational closing. While the regulatory green light has been secured, bank mergers typically require final administrative steps, data system integrations, and customer transition communications before the operational unification is fully completed on the ground. Management teams from both organizations are expected to coordinate closely in the coming weeks to ensure a seamless transition for account holders, commercial borrowers, and community stakeholders in Ohio and Kentucky.

For members of the media seeking further information, clarification, or official statements regarding the Federal Reserve Board’s decision, inquiries may be directed to the Board’s media relations office via email at [email protected] or by telephone at (202) 452-2955. Additional documentation concerning the application and the Board’s regulatory determinations can also be accessed through the official public channels of the Federal Reserve System.