March 6, 2020

On March 6, 2020, Carroll Bancorp, Inc., Eldersburg, Maryland, the holding company for Carroll Community Bank, a Maryland-chartered bank, and Farmers and Merchants Bancshares, Inc., Hampstead, Maryland, the holding company for Farmers and Merchants Bank, a Maryland-chartered bank, announced the signing of a definitive merger agreement pursuant to which Carroll Bancorp will merge with and into Farmers and Merchants Bancshares, with Farmers and Merchants Bancshares as the resulting company. Carroll Bancorp shareholders will receive $21.63 in cash per share of Carroll Bancorp common stock. The total merger consideration is valued at approximately $25.0 million.

Luse Gorman is serving as legal counsel to Carroll Bancorp in the transaction. The Luse Gorman team consists of Eric Luse, Ned Quint, Tom Hutton and Michael Brown.

Carroll Bancorp has over $180 million in total assets and operates three branch offices in Eldersburg, Westminster and Bethesda, Maryland.

Farmers and Merchants Bancshares operates six branch locations in Upperco, Hampstead, Greenmount, Reisterstown, Owings Mills and Westminster, Maryland and has total assets of $440 million.