ROSEMONT, Ill., July 17, 2015 (GLOBE NEWSWIRE) -- Wintrust Financial Corporation (“Wintrust”) (Nasdaq:WTFC) today announced the completion of its previously announced acquisition of Suburban Illinois Bancorp, Inc. (“Suburban”). Suburban, headquartered in Elmhurst, Illinois, was the parent company of Suburban Bank & Trust Company (“SBT”), an Illinois-state chartered bank, which operates ten banking locations in Chicago and its suburbs. Effective with the closing of the transaction, SBT’s locations will operate as branches of Wintrust’s subsidiary, Hinsdale Bank & Trust Company.
Since its formation in 1976, SBT has served its communities with exceptional personal service, great products and convenience. As of March 31, 2015, SBT had approximately $488 million in assets, approximately $293 million in loans and approximately $426 million in deposits.
Edward J. Wehmer, President and CEO of Wintrust, said, “This transaction allows us to expand into the desirable Elmhurst market in a meaningful way and complement our growing presence in other suburban markets. We look forward to continuing the community banking approach that SBT established and to providing their customer base with an expanded array of products and services. Several of Wintrust’s community banks will have branches that share market areas with the acquired Suburban branches. As a result of those branch overlaps, we expect to combine approximately six branches during the second half of 2015.”
Donald A. O’Day, President of Suburban, stated, “We are excited about partnering with a successful organization that shares a similar philosophy of offering customers highly personalized customer-oriented retail and commercial banking services.” Mr. O’Day emphasized that by joining with Wintrust, “the transaction allows us to continue focusing on serving our customers, while at the same time providing our customers with access to a wider range of products and services.”
Terms of the Transaction
The aggregate purchase price was approximately $12.5 million. In the merger, outstanding shares of Suburban’s common stock were converted into the right to receive cash merger consideration.
The transaction is not expected to have a material effect on Wintrust’s 2015 earnings per share.
Advisors
Hovde Group LLC acted as exclusive financial advisor to Suburban in the transaction and provided a fairness opinion to its Board of Directors. Barack Ferrazzano Kirschbaum & Nagelberg LLP acted as Suburban’s legal advisor and Schiff Hardin LLP served as outside counsel to Wintrust.
About Wintrust
Wintrust is a financial holding company with assets of approximately $21 billion whose common stock is traded on the NASDAQ Global Select Market. Built on the "HAVE IT ALL" model, Wintrust offers sophisticated technology and resources of a large bank while focusing on providing service-based community banking to each and every customer. Wintrust operates fifteen community bank subsidiaries with over 150 banking locations located in the greater Chicago and southern Wisconsin market areas. Additionally, the Company operates various non-bank business units including one of the largest commercial insurance premium finance companies operating in the United States and Canada, a company providing short-term accounts receivable financing and value-added out-sourced administrative services to the temporary staffing services industry, a business unit engaging primarily in the origination and purchase of residential mortgages for sale into the secondary market throughout the United States, and companies providing wealth management services.
Forward-Looking Information
This press release contains forward-looking statements within the meaning of the federal securities laws relating to the acquisition of Suburban and integration of Suburban with Wintrust, the combination of their businesses and projected revenue, as well as profitability and earnings outlook. Investors are cautioned that such statements are predictions and actual events or results may differ materially. Wintrust's expected financial results or other plans are subject to a number of risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" and the forward-looking statement disclosure contained in Wintrust's Annual Report on Form 10-K for the most recently ended fiscal year and in any of Wintrust’s subsequent SEC filings. Forward-looking statements speak only as of the date made and Wintrust undertakes no duty to update the information.