Wintrust Financial Corporation Announces the Closing of the Acquisition of HPK Financial Corporation
December 12 2012 - 4:01PM
Wintrust Financial Corporation ("Wintrust") (Nasdaq:WTFC) today
announced the completion of its previously announced acquisition of
100% of HPK Financial Corporation ("HPK"). HPK is the parent
company of Hyde Park Bank and Trust Company, an Illinois state bank
("Hyde Park Bank"), which operates two banking locations in the
Hyde Park neighborhood of Chicago, Illinois. As part of the
transaction, Hyde Park Bank will be merged into Wintrust's
wholly-owned subsidiary, Beverly Bank & Trust Company,
N.A. Hyde Park Bank's two banking locations will operate as
branches of Beverly Bank & Trust Company, N.A. under the name
Hyde Park Bank.
Hyde Park Bank has an established history of serving its
community dating back to its formation in 1928. As of
September 30, 2012 it had approximately $131 million in loans and
approximately $244 million in deposits. Hyde Park Bank's two
banking facilities are located at 1525 East 53rd Street and 1311
East 57th Street in Chicago. Its flagship building, a Chicago
landmark located at the corner of 53rd Street and Lake Park Avenue
in Hyde Park, has served as a community anchor and retail gateway
for more than three generations. Hyde Park Bank's approach to
customer service is similar to that of other Wintrust community
banks, with a high level of involvement between bank employees and
customers as a top priority.
Edward J. Wehmer, President and CEO of Wintrust, said, "This
transaction provides a wonderful opportunity to expand our presence
to the vibrant Hyde Park neighborhood of Chicago and helps us
continue on our path to become Chicago's Bank. We look forward
to continuing Hyde Park Bank's community banking approach and
providing the local community with an expanded array of products
and services."
Timothy G. Goodsell, CEO of Hyde Park Bank, stated, "We are
excited about the opportunity to combine resources with
Wintrust. This is a great opportunity to partner with a
successful organization that is like-minded in its philosophy of
offering highly personalized customer-oriented retail and
commercial banking services with financial capabilities to support
further expansion." Mr. Goodsell emphasized that by joining
forces with Wintrust, "the transaction allows Hyde Park Bank to
continue focusing on serving its customers as it has for the past
84 years, while at the same time providing its customers with
access to a wider range of products and services. We clearly
see benefits for our customers and we are pleased to join the
Wintrust family."
Terms of the Transaction
The aggregate purchase price was approximately $27.5 million.
In the merger, shares of HPK common stock outstanding were
converted into the right to receive merger consideration paid in a
combination of cash and shares of Wintrust common stock. In
the aggregate, the merger consideration was paid in approximately
equal amounts of cash and shares of Wintrust common stock.
The transaction is not expected to have a material effect on
Wintrust's 2012 earnings per share.
About Wintrust
Wintrust is a financial holding company with assets of
approximately $17 billion whose common stock is traded on the
NASDAQ Global Select Market. Built on the "HAVE IT ALL"
model, Wintrust offers the 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, now with over 100 banking locations
located in the greater Chicago and Milwaukee market areas.
Additionally, the Company operates various non-bank subsidiaries
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, companies 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 HPK Financial Corporation and integration of HPK
Financial Corporation 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 in
Wintrust's 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.
CONTACT: FOR MORE INFORMATION CONTACT:
Edward J. Wehmer, President/CEO -
Wintrust Financial Corporation, (847) 939-9000
David A. Dykstra, Senior EVP/COO -
Wintrust Financial Corporation, (847) 939-9000
Timothy G. Goodsell, President/CEO -
HPK Financial Corporation (773) 752-4600
Wintrust Website address: www.wintrust.com
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