Heartland Financial USA Inc., the parent company of Madison-based Wisconsin Bank & Trust, announced today it has closed on the purchase of First Shares Inc. (FSI), parent company of First National Bank of Platteville.
“We are pleased to welcome clients of First National Bank of Platteville to Wisconsin Bank & Trust,” said Tom Wilkinson, chairman and chief executive officer of Wisconsin Bank & Trust. “We look forward to continuing the heritage of respect for the customer and commitment to the Platteville community and see promising growth ahead in southwestern Wisconsin.”
The merger agreement provides for all outstanding shares of FSI to be converted into a combination of cash and shares of Heartland common stock. Based on the 30-day closing price of Heartland common shares, FSI shareholders will receive .8677 shares of Heartland and $18.37 in cash for each FSI share tendered. The aggregate purchase price was $10.9 million. Simultaneous with closing of the transaction, First National Bank has been merged into Heartland’s Wisconsin Bank & Trust subsidiary.
The transaction included assets of approximately $129 million, loans of $88 million and deposits of $113 million as of September 30, 2012. Prior to the transaction closing, Wisconsin Bank & Trust had assets of $512 million, loans of $356 million and deposits of $424 million.
The merger expands the number of Wisconsin Bank & Trust locations from seven to ten and adds southwestern Wisconsin to the bank’s service area. The new branch locations are located in Platteville, Lancaster, and Hazel Green. Signage at these locations is being changed to reflect the Wisconsin Bank & Trust brand in southwestern Wisconsin.
“Joining forces with First National Bank ‘fills in’ our presence close to our current locations in Monroe and Madison,” said Kevin Tenpas, president of Wisconsin Bank & Trust. “We anticipate continued growth in our agricultural lending programs and believe existing customers of First National Bank of Platteville, both retail and commercial, will benefit from the merger. We offer a wide selection of products and services delivered in the same convenient, face-to-face manner they are used to. We are also fortunate to add a talented local management team and staff to Wisconsin Bank & Trust.”