Greenwoods to Acquire Three Branch Locations of Town Bank

Rhea-AI Summary

Wintrust Financial Corporation (Nasdaq: WTFC) has signed a branch purchase and assumption agreement with Greenwoods Financial Group, Inc. for three branches in southwestern Wisconsin. Greenwoods will acquire approximately $80 million in deposits along with bank facilities and other assets. The transaction aims to enhance Greenwoods' presence in the area and allows Wintrust to concentrate on primary markets. The deal is subject to regulatory approval and is expected to close in Q2 2021, with no significant impact anticipated on Wintrust's 2021 earnings per share.

Positive

• Acquisition expands Greenwoods' presence in southern Wisconsin.
• Greenwoods assumes approximately $80 million in deposits.
• Allows Wintrust to focus efforts on primary markets.

Negative

• None.

ROSEMONT, Ill., Jan. 14, 2021 (GLOBE NEWSWIRE) -- Wintrust Financial Corporation (“Wintrust”) (Nasdaq: WTFC) and Greenwoods Financial Group, Inc., the parent company of The Greenwood’s State Bank (“Greenwoods”), today announced a signed branch purchase and assumption agreement for three southwestern Wisconsin branch locations of Wintrust’s wholly-owned subsidiary Town Bank, N.A. The three branches subject to the transaction are located in Albany, Darlington and Monroe, Wisconsin. Through this transaction, subject to final adjustments, Greenwoods will assume approximately $80 million of deposits and acquire the bank facilities, and various other assets.

“This acquisition represents an opportunity for us to expand our presence in southern Wisconsin,” said Bill McDonald, CEO of Greenwoods. “We look forward to building upon the franchise that Town Bank established at these locations and continuing to provide its customers with a full array of community banking products and services.”

Jay C. Mack, President and CEO of Town Bank, said, “This transaction will allow us to focus our efforts on our primary markets. We feel that Greenwoods is a good buyer for these branch locations and will work hard, as we will, to ensure a smooth transition for our customers, colleagues and the local communities.”

The terms of the transaction are not being disclosed at this time. The transaction is subject to approval by banking regulators and certain closing conditions. The transaction is expected to close in the second quarter of 2021 and is not expected to have a material effect on Wintrust’s 2021 earnings per share.

About Wintrust

Wintrust is a financial holding company with assets of over $43 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 180 banking locations located in the greater Chicago and southern Wisconsin market areas. Additionally, Wintrust operates various non-bank business units including business units which provide commercial and life insurance premium financing in the United States, a premium finance company operating in 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 and qualified intermediary services for tax-deferred exchanges.

About Greenwoods

Greenwoods, founded in 1884, is headquartered in Lake Mills, Wisconsin, and is a state‑chartered non-member bank. Greenwoods currently has locations in Jefferson, Green, Rock, Racine, Walworth, and Waukesha Counties. Greenwoods is a high touch, community focused bank centered on its customers. Greenwoods has the technology products of a larger bank but delivers its products and services with a hometown community bank style. Greenwoods’ experienced staff offers solutions to both personal and business banking needs. Greenwoods has local decision making and does its own loan underwriting, and its customers deal with bankers face to face. Greenwoods offers robust technology that allows its customers to access their accounts any time, day or night, both online or through its app on mobile devices, for business and personal banking products. Greenwoods partners with the local communities it serves, investing its assets through loans to its neighbors, friends, family, and local businesses.

Forward-Looking Information

This press release contains forward-looking statements within the meaning of the federal securities laws relating to the acquisition of certain assets and assumption of certain liabilities of Town Bank, a subsidiary of Wintrust, by The Greenwood’s State Bank, 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 disclosures 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, Founder and CEO – Wintrust Financial Corporation, (847) 939-9000
David A. Dykstra, COO – Wintrust Financial Corporation, (847) 939-9000
Bill McDonald, CEO – The Greenwood’s State Bank, (920) 648-2324

FAQ

What acquisition did Wintrust Financial Corporation announce?

Wintrust announced a branch purchase agreement with Greenwoods Financial Group for three branches in Wisconsin.

How much in deposits will Greenwoods acquire from Wintrust?

Greenwoods will acquire approximately $80 million in deposits.

When is the expected closing date for the Wintrust and Greenwoods transaction?

The transaction is expected to close in the second quarter of 2021.

Will the acquisition affect Wintrust's earnings per share?

No significant impact on Wintrust's 2021 earnings per share is anticipated from this transaction.

What are the locations of the branches involved in the Wintrust acquisition?

The branches are located in Albany, Darlington, and Monroe, Wisconsin.