Wintrust Financial Corporation acquires Macatawa Bank for $510m
Wintrust Financial Corporation, a financial holding company based in Illinois, USA, has signed a definitive agreement to acquire Michigan state-chartered bank Macatawa Bank Corporation in an all-stock transaction.
Wintrust acquires Macatawa Bank in $510m deal
The acquisition is currently valued at around $510.3 million, translating to $14.85 per share. However, this sum is still subject to potential adjustments.
The deal, which is subject to approval by banking regulators and Macatawa’s shareholders, is intended to be finalised during the second half of 2024.
Founded in 1997, Macatawa Bank manages a network of 26 full-service branches throughout the Ottawa, Kent, and northern Allegan counties in Michigan. The bank claims that, as of 31 December 2023, it managed approximately $2.7 billion in assets, $1.3 billion in loans, and $2.4 billion in deposits.
Commenting on the transaction, Richard Postma, chairman of the board at Macatawa Bank, says that the deal with Wintrust will allow the bank to retain its “consumer and commercial community presence” in the West Michigan area, by preserving the “Macatawa Bank name, its key employees, branches, and a legally constituted community bank board, as a separately chartered bank”.
Timothy Crane, president and CEO of Wintrust, states the company is purchasing a “very solid bank” in Macatawa, adding the firm has a strong core deposit base and a “committed leadership team”.
Wintrust currently boasts assets of around $57 billion and says it operates “fifteen community bank subsidiaries, with over 170 banking locations located in the greater Chicago and southern Wisconsin market areas”.
