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Old National Bancorp in Evansville, Ind., has agreed to buy Tower Financial in Fort Wayne.
September 10 -
Old National is trying to shed assets ahead of an acquisition in hopes of staying below $10 billion in assets, a level that ensures increased regulation.
September 13 -
United Bancorp (UBMI) in Ann Arbor, Mich., has redeemed the last of its Troubled Asset Relief Program shares.
December 27
Old National Bancorp (ONB) in Evansville, Ind., has agreed to buy United Bancorp (UBMI) in Ann Arbor, Mich.
The $9.7 billion-asset Old National will pay $173.1 million in cash and stock for United, or roughly $13.17 a share. The amount represents a 76% premium compared to United's closing price on Tuesday.
United has $919 million in assets, $806 million in deposits, $869 million in wealth management assets and a $963 million loan-servicing portfolio. Adding United's 18 southern Michigan branches would give Old National 36 in the region and a total of 188.
Todd Clark, United's chief operating officer and chief banking officer, will join Old National as Michigan regional president after the deal closes, Old National said in a press release Wednesday.
"We are incredibly excited about this partnership, which introduces Old National to the vibrant community of Ann Arbor and significantly expands our presence throughout southern Michigan," Old National President and Chief Executive Bob Jones said in the release.
Old National agreed in September to
In late December, United
Raymond James & Associates advised Old National on the agreement and Sandler O'Neill advised United. The companies expect the deal to close in the second quarter.