Wells Fargo acquiring Meridian Capital Bank

Wisconsin’s Meridian Capital Bank among numerous holdings being acquired
Wells Fargo & Co. and the family of Minnesota businessman Carl Pohlad have signed a definitive agreement for Wells Fargo to acquire, among other properties, nine banking locations in Wisconsin and Illinois, as well as banks owned by Marquette Bancshares and Texas Financial Bancorporation in five other states.
The acquisition includes banking locations in Baraboo, Edgar, Waukesha and Milwaukee in Wisconsin, as well as locations in Monmouth, Morrison and Little York, Ill. The purchase also includes Marquette Bank, Marquette Financial Group, and Marquette Equipment Finance.
Included in the Wisconsin acquisitions is Meridian Capital Bank, which has locations in downtown Milwaukee, Waukesha and Edgar. The Waukesha office is new. Meridian specializes in private banking, focusing on close, personalized service for bank customers.
The San Francisco-based Wells Fargo also has a downtown Milwaukee location in the 100 East building at the corner of Water Street and Wisconsin Avenue. That’s just over a block away from Meridian Capital’s location on Mason Street in the Fiduciary Building. Wells Fargo acquired its presence on downtown Milwaukee’s main intersection when it merged with Norwest Bank. Wells Fargo is also downtown at 735 W. Wisconsin Ave.
Will the merger with such a large bank affect Meridian’s operating philosophy?
“Obviously, our concern out of the block is, first and foremost, for our customers who have come to Meridian, and for our employees,” Meridian’s president, Richard Hensley said. “I feel very good about the entire opportunity in that Wells is very committed to the private financial services strategy that we have worked hard to develop over the last two-and-a-half years.
“But I think what they bring to us is a national brand that’s been recognized as being very customer friendly,” Hensley continued. “They have a strong Web presence and a strong back room as far as data processing is concerned, which will give us a lot of muscle to offer products and services that enhance our ability to offer that customized solution to our clients.”
The purchase encompasses several of the Pohlad family’s national banking interests. The banking companies that will be purchased have $5.6 billion in assets, 117 locations, $4 billion in deposits, 2,300 employees and 300,000 customer households.
Terms of the transaction were not disclosed. Pending regulatory approvals, the acquisition is expected to be completed early in the first quarter of next year.
“The Pohlad banks and Wells Fargo share a community banking philosophy,” said J. Lanier Little, regional president for Wells Fargo in Wisconsin and Illinois. “We hope to capitalize on the strong presence these banks already enjoy in their markets by adding a wider array of products and services to meet customers’ needs. Customers in each of these markets will gain the added convenience of being able to bank at any of our Wells Fargo locations nationwide.”
The purchase of the banks and other businesses of Marquette Bancshares will solidify Wells Fargo’s position in Wisconsin. “This purchase will strengthen our position in Milwaukee and will add a new store location for us in Waukesha County,” said Little. “We also add bank locations in two new markets, Edgar and Baraboo. Edgar will be a first step in our efforts to expand into the Wausau, Stevens Point and Wisconsin Rapids area, and Baraboo will nicely compliment our rapidly growing Madison bank. In Illinois, the Morrison and Monmouth banks will add to our existing Western Illinois banking presence in Geneseo and Galesburg.” Wells Fargo has more than 900 team members, over $2 billion in deposits, 65 banking stores in 16 Wisconsin and Illinois communities, Wells Fargo Online Banking, 24-hour telephone banking and 135 Wells Fargo Express ATMs.
“We have considered what is best for our customers, our employees and our family. The decision to become part of the Wells Fargo organization is the right choice for meeting the best interests of all three,” said Carl Pohlad, owner of MBI and TFBI. “I have had the benefit of knowing and working with the individuals who lead the Wells Fargo organization for many years. I have great respect for these individuals and trust in their ability to compete and grow in this challenging industry. The vision and values that guide their company are very compatible with the vision and values that have guided ours.”
The combined assets of the Pohlad-owned financial holding companies represent the largest privately held banking organization in the US with $6.5 billion in assets and operations in 17 states. Following the sale, the Pohlads said they will continue to own and expand businesses in the areas of commercial real estate finance, asset-based lending, consumer finance and residential construction lending. They will also retain some banking interests in Arizona, Illinois and California.
The publicly traded Wells Fargo, (www.wellsfargo.com) has assets of $290 billion.
Oct., 12, 2001 Small Business Times, Milwaukee