Strategic Insights into Banking & Fintech

Fulton in Pa. to raise $250M to back purchase of failed Republic First

Fulton in Pa. to raise $250M to back purchase of failed Republic First

Fulton Financial in Lancaster, Pa., will sell $250 million of common stock to support its purchase of the failed Republic First Bank. The $27.6 billion-asset Fulton said in a press release that it will sell about 16.7 million shares of stock at $15 each. The underwriters could sell another 2.5 million shares if there is enough demand, which could bring in another $37.5 million. Net proceeds should be about $238

April 29, 2024
Hope Bancorp to enter Hawaii with Territorial Bancorp acquisition

Hope Bancorp to enter Hawaii with Territorial Bancorp acquisition

Hope Bancorp in Los Angeles has agreed to buy Territorial Bancorp in Honolulu. The $18.1 billion-asset Hope said in a press release that it will pay $78.6 million in stock for the $2.2 billion-asset Territorial. The deal is expected to close by the end of this year. Territorial has 28 branches, $1.3 billion of loans and $1.6 billion of deposits. Hope said it will continue to use the Territorial brand

April 29, 2024
UMB Financial to buy Heartland Financial for $2 billion

UMB Financial to buy Heartland Financial for $2 billion

UMB Financial in Kansas City, Mo., has agreed to buy Heartland Financial USA in Denver. The $45.1 billion-asset UMB said in a press release that it will pay $2 billion in stock for the $19.4 billion-asset Heartland. The deal, which is expected to close in the first quarter, priced Heartland at 153% of its tangible book value. Heartland has 107 branches, $16.2 billion of deposits and $12.1 billion of loans across 13

April 29, 2024
Fulton Bank buys Republic First after Philadelphia bank’s failure

Fulton Bank buys Republic First after Philadelphia bank’s failure

Republic First Bank in Philadelphia was closed by regulators, ending a lengthy saga that included an ousted CEO, shareholder fights and a failed attempt to raise capital. Fulton Bank in Lancaster, Pa., agreed to assume substantially all of Republic First's $6 billion of assets and $4 billion of deposits, the Federal Deposit Insurance Corp., said in a press release. Republic First's 32 branches in Pennsylvania, New Jersey and New York,

April 27, 2024
Western Illinois Bancshares to buy Princeville State Bank

Western Illinois Bancshares to buy Princeville State Bank

Western Illinois Bancshares in Monmouth has agreed to buy Main Street Bancorp in Princeville, Ill. The parent of the $670 million-asset Midwest Bank said that its bank and Main Street’s $121 million-asset Princeville State Bank will operate as “independent, separately chartered banks” after the deal closes. The price of the all-stock deal wasn’t disclosed. Main Street “is a great fit for our company because they share our vision for strategic

April 26, 2024
Fed approves investor group’s planned purchase of Mich. bank

Fed approves investor group’s planned purchase of Mich. bank

An investor group has received approval from the Federal Reserve to buy First State Bank of Decatur in Michigan. A group led by Gregg Bigger applied last fall to buy the $54 million-asset bank. They plan to rebrand First State as Grand Traverse State Bank. The group has been looking to raise $14.5 million with hopes of buying and rebranding First State by late 2024. Bigger was a founder of

April 26, 2024
Hanover in N.Y. and Castle Creek reach exchange agreement

Hanover in N.Y. and Castle Creek reach exchange agreement

Hanover Bancorp is taking steps to let Castle Creek Capital Partners boost its stake in the Mineola, N.Y., company to 9.9%.   The $2.3 billion-asset company disclosed in a regulatory filing that it entered into an exchange agreement with Castle Creek to let the investor exchange 125,000 shares of voting common stock for 125,000 shares of Series A preferred stock.   Hanover also filed the documents necessary to increase its

April 26, 2024
First Financial in Ohio sells securities, cuts jobs in noisy first quarter

First Financial in Ohio sells securities, cuts jobs in noisy first quarter

First Financial Bancorp in Cincinnati had a noisy quarter that included an acquisition, layoffs, a restructured securities portfolio, and an increase in classified assets. The $17.6 billion-asset company said in a press release that first-quarter profit fell by 28% from a year earlier, to $50.7 million. First Financial bought Agile Premium Finance, which lends primarily to commercial customers to finance insurance premiums. The company had $93.4 million of loans when

April 26, 2024