Old National to acquire Fort Wayne's top local bank

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Old National Bancorp, the largest financial services company headquartered in Indiana, has agreed to buy Fort Wayne-based Tower Financial Corp. for about $107.7 million, the companies announced Tuesday.

Tower Financial stock skyrocketed 47 percent Tuesday morning after the deal was disclosed.

The stock-and-cash transaction value is likely to change due to fluctuation in the price of Old National stock before the closing. The deal, which is subject to regulatory approval, is expected to close in the first quarter of 2014.

Tower Financial has $680.9 million in total assets and manages another $523.3 million in trust assets. It is parent of the Tower Bank & Trust Co., the largest independent bank headquartered in Fort Wayne.

Tower Bank, founded in 1999, has six full-service banking centers in Fort Wayne and one in Warsaw with total deposits of $581.6 million and $438.6 million in loans.

Evansville-based Old National has $9.6 billion in assets and 176 bank branches.

“We are absolutely thrilled about this partnership, which dramatically expands Old National’s presence in the attractive Fort Wayne market, and which will continue and strengthen Tower’s community banking commitment, while helping to solidify our standing as Indiana’s bank,” Old National CEO Bob Jones said in a prepared statement.

Under the agreement approved by the boards of both companies, shareholders of Tower Financial will receive 1.20 shares of Old National common stock and $6.75 in cash for each share of Tower Financial common stock.

The $107.7 million merger value is based on the Sept. 5 closing price of Old National stock of $13.52 per share. Old National shares traded at $13.75 early Tuesday, down 2 cents from Monday’s close.

Tower Financial shares jumped $7.31 Tuesday morning, to $22.97 each.



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  1. Those of you yelling to deport them all should at least understand that the law allows minors (if not from a bordering country) to argue for asylum. If you don't like the law, you can petition Congress to change it. But you can't blindly scream that they all need to be deported now, unless you want your government to just decide which laws to follow and which to ignore.

  2. 52,000 children in a country with a population of nearly 300 million is decimal dust or a nano-amount of people that can be easily absorbed. In addition, the flow of children from central American countries is decreasing. BL - the country can easily absorb these children while at the same time trying to discourage more children from coming. There is tension between economic concerns and the values of Judeo-Christian believers. But, I cannot see how the economic argument can stand up against the values of the believers, which most people in this country espouse (but perhaps don't practice). The Governor, who is an alleged religious man and a family man, seems to favor the economic argument; I do not see how his position is tenable under the circumstances. Yes, this is a complicated situation made worse by politics but....these are helpless children without parents and many want to simply "ship" them back to who knows where. Where are our Hoosier hearts? I thought the term Hoosier was synonymous with hospitable.

  3. Illegal aliens. Not undocumented workers (too young anyway). I note that this article never uses the word illegal and calls them immigrants. Being married to a naturalized citizen, these people are criminals and need to be deported as soon as humanly possible. The border needs to be closed NOW.

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