Finward Bancorp shares surge 21% on $208M acquisition by First Financial

First Financial Bancorp (FFBC) has agreed to acquire Munster, Indiana-based Finward Bancorp (FNWD) in an all-stock transaction valued at approximately $208M, the companies said Tuesday. FNWD shares rose 21% in extended trading to $44.15.

Under the terms of the agreement, Finward common stockholders will receive 1.35 shares of First Financial common stock for each share owned. Valuation of the deal is based on First Financial’s closing stock price on July 20, 2026.

The acquisition strategically expands First Financial's footprint into the Chicagoland market and Northwest Indiana, adding Finward's core deposit franchise and 24 financial centers—backed by a 116-year presence in the region—to its existing network, according to the statement.

The transaction is expected to be ~5% accretive to First Financial’s earnings per share, and First Financial’s tangible book value per share at closing is estimated to be only slightly diluted (0.4% dilution) with an anticipated TBV earnback of 0.6 years.

The merger agreement has been unanimously approved by the Boards of Directors of First Financial and Finward.

Finward has approximately $2.0 billion in assets, $1.7 billion in deposits, $1.5 billion in loans and $412 million in assets under management