Wintrust Financial Corporation Announces the Closing of the Acquisition of Delaware Place Bank
August 01 2018 - 9:20AM
Wintrust Financial Corporation (“Wintrust”) (Nasdaq: WTFC) today
announced the completion of its previously announced acquisition of
Chicago Shore Corporation (“CSC”). CSC is the parent company
of Delaware Place Bank, an Illinois state-chartered bank, which
operates a banking location in the Gold Coast/Streeterville
neighborhood of Chicago, Illinois. As of June 30, 2018,
Delaware Place Bank had approximately $247 million in assets,
approximately $161 million in loans and approximately $216 million
in deposits. Following the transaction, Delaware Place Bank
will be merged into Wintrust’s wholly-owned banking subsidiary,
Wintrust Bank, and its banking location will operate as a branch of
Wintrust Bank.
Edward J. Wehmer, President and CEO of Wintrust,
said, “This transaction gives us a wonderful opportunity to expand
and complement our market presence in the heart of the City of
Chicago. We look forward to continuing the community banking
approach that Delaware Place Bank has established and to providing
its customers with an expanded array of products, services and
resources.”
“We are very pleased to become a member of the
Wintrust banking family,” said James W. Aldrich, Chairman and Chief
Executive Officer, Chicago Shore Corporation and Delaware Place
Bank. “This transaction brings together two companies
that share core community banking philosophies and cultures.
Wintrust’s Chicago-based leadership and its record of
accomplishments serving families, individuals and businesses in
Chicago’s neighborhoods and surrounding communities made it an
attractive partner. This partnership offers our customers and
employees the long-term benefits that being part of a successful,
growing and caring organization brings.” Mr. Aldrich emphasized
that by joining forces 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,
services and resources.”
Terms of the Transaction
The aggregate purchase price (which takes into
account the appreciated value of a five-story building located in
the Gold Coast/Streeterville neighborhood of Chicago) was
approximately $33.4 million. Shares of CSC common stock
outstanding at the time of the merger were converted into the right
to receive per share merger consideration paid in cash. The
transaction is not expected to have a material effect on Wintrust’s
2018 earnings per share.
Advisors
Piper Jaffray acted as exclusive financial
advisor to CSC in the transaction and provided a fairness opinion
to its Board of Directors. Sullivan and Cromwell LLP acted as
CSC’s transaction counsel, and Schiff Hardin LLP served as
transaction counsel to Wintrust.
About Wintrust
Wintrust is a financial holding company with
assets of approximately $29 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 160 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 Chicago Shore Corporation and its
integration 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 any subsequent Quarterly Report on Form 10-Q.
Forward-looking statements speak only as of the date made and
Wintrust undertakes no duty to update the information.
FOR MORE INFORMATION CONTACT:
Edward J. Wehmer, President/CEO – Wintrust Financial Corporation, (847) 939-9000
David A. Dykstra, COO – Wintrust Financial Corporation, (847) 939-9000
James Aldrich, Chairman and CEO – Chicago Shore Corporation, (312) 280-0360
Wintrust Website address: www.wintrust.com
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