Waterford Bancorp, Inc. entered into a definitive agreement to acquire Clarkston Financial Corporation (OTCPK:CKFC) for $34.8 million on June 5, 2019. Pursuant to the terms of agreement, upon closing, each share of Clarkston Financial Corporation common stock will be exchanged for either 0.1196 shares of Waterford Bancorp, Inc. common stock or at least $10.52 per share in cash. The per share cash consideration is subject to possible upward adjustment based on the appraised value of Waterford Bancorp, Inc. common stock as of June 30, 2019. Shareholders of Clarkston Financial owning less than 50,000 shares will receive cash consideration, subject to no more than 25% of Clarkston Financial shares being acquired for cash. All other Clarkston Financial shareholders will receive stock consideration. Under the terms of the agreement, Clarkston Financial Corporation will merge with and into Waterford Bancorp. and Clarkston State Bank will merge with and into Waterford Bank. Two of Clarkston Financial’s Directors will join Waterford Bancorp, Inc. Board of Directors. The headquarters of the Bank will be in Ohio, Michigan. The transaction is subject to regulatory and shareholder approval, among other customary conditions to closing. The Boards of Directors of Waterford Bancorp and Clarkston Financial unanimously approved the agreement. On August 22, 2019, Federal Reserve Bank granted waiver for application for the merger. As of October 28, 2019, Clarkston Financial has received regulatory and shareholder approval. The transaction is expected to close by early first quarter of 2020. Craig J. Mancinotti of ProBank Austin acted as financial advisor while Shumaker Loop & Kendrick, LLP acted as legal advisor for Waterford Bancorp, Inc. Donnelly Penman & Partners acted as financial advisor while Varnum LLP acted as legal advisor for Clarkston Financial Corporation.