First Financial Bancorp acquires BankFinancial

First Financial (FFBC) and BankFinancial (BFIN) have entered into an agreement by which First Financial will acquire Chicago-based BankFinancial in an all-stock transaction. Upon completion of the transaction, BankFinancial’s consumer, trust/wealth management and selected commercial credit lines of business will be incorporated into First Financial’s respective business lines, and all BankFinancial bank employees will become First Financial associates. Each outstanding share of BankFinancial common stock will be converted into the right to receive 0.48 of a share of First Financial common stock, valuing the transaction at approximately $142M, based on First Financial’s closing stock price on August 8, 2025. The transaction is expected to be accretive to First Financial’s EPS and First Financial’s tangible book value per share at closing is estimated to be approximately unchanged. The merger agreement has been unanimously approved by the boards of directors of First Financial and BankFinancial. The transaction is expected to close in Q4, subject to satisfaction of customary closing conditions, regulatory approvals and approval of BankFinancial shareholders.