February 24, 2022 - 10:06pm EST by
2022 2023
Price: 16.75 EPS 0 0
Shares Out. (in M): 12 P/E 0 0
Market Cap (in $M): 208 P/FCF 0 0
Net Debt (in $M): 0 EBIT 0 0
TEV (in $M): 0 TEV/EBIT 0 0

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  • Community Bank
  • Banks
  • Thrift conversion


Richmond Mutual Bancorporation is a $1.265 billion in assets, Midwest bank that trades at 115% of tangible book value (TBV). I believe that the bank will be sold in the coming year and could fetch $21-$22/share for a 30%+ return.


History: The bank was founded in 1887 in Richmond, Indiana, which sits on Indiana’s eastern border, straddling I-70 between Dayton, OH and Indianapolis, IN. Over the years, the bank went through various name and charter changes. The bank is currently an Indiana state-chartered commercial bank.

In 1998, the bank converted to a non-stock mutual holding company. This allowed the bank to acquire Mutual First Savings Bank in Sidney, OH in 2007, which operated as a wholly-owned subsidiary until 2016 when the subsidiary banks were combined.

The bank did run into some capital issues following the GFC as detailed in this Federal Reserve letter:

On 7/1/2019, the bank became a stock, Maryland corporation and sold shares to the public in a thrift conversion. 13.0 million shares were sold, and 500K were given to a foundation.

 The bank operates 7 branches and one loan office in Indiana and 5 branches in Ohio.