Wintrust Financial in Rosemont, Illinois, has agreed to pay $510.3 million in stock to buy Macatawa Bank Corp. in Holland, Michigan.
Macatawa operates a network of 26 branches throughout communities in Kent, Ottawa and northern Allegan counties in western Michigan, including the Grand Rapids market. It has approximately $2.7 billion of assets, $2.4 billion of deposits and $1.3 billion of loans.
It would join the $56 billion-asset Wintrust's cadre of 15 community banks in the Midwest. Wintrust has more than 170 banking locations.
"Macatawa provides an ideal platform to expand into West Michigan with a very solid bank," Timothy Crane, president and CEO of Wintrust, said in a release late Monday. "The bank has a strong core deposit base, exceptional asset quality, a client-focused culture and a committed leadership team."
"Together, we will be a formidable, community-minded competitor to the other banks in the area," Crane added. "We look forward to the combined synergies that our two firms can realize while providing Macatawa's customers with an expanded array of products and services."
For Macatawa, the deal presents an opportunity to join a larger bank with higher lending limits and more products.
"This partnership offers our customers, employees and communities the long-term benefits that being part of a successful, growing and caring organization brings," Jon Swets, president and CEO of Macatawa, said in the release.
The deal "allows us to continue focusing on serving our customers and growing our presence by providing our customers with access to a wider range of products, services and resources," he said. "We see many advantages for our customers and shareholders."
The transaction is expected to close in the second half of 2024 and is not expected to have a material impact on Wintrust's 2024 earnings per share, according to the release.
