The largest bank headquartered in Indiana plans to acquire Anchor BanCorp Wisconsin in a stock-and-cash deal valued at $461 million, the companies announced Tuesday.
Evansville-based Old National Bank said it will purchase Anchor, the third largest bank in Wisconsin with assets of $2.2 billion. Anchor also has $1.5 billion in loans, $1.8 billion in deposits, and $360 million in common shareholders’ equity
If approved by regulators and shareholders, the transaction could be completed by the end of June.
Old National said the acquisition will be the biggest in its history.
The Madison-based Anchor BanCorp is the parent company of AnchorBank. Its CEO and President Chris Bauer said Old National Bank has "a strong history of growth and a deep commitment to providing high-quality community banking and a rewarding workplace for its employees."
AnchorBank operates 46 banking centers, including 32 in Madison, Milwaukee and Fox Valley.
Old National was founded in 1834, has $11.9 billion in assets and 160 bank branches, including 30 in the Indianapolis area.
Under terms of the agreement, Anchor shareholders may elect to receive either 3.5505 shares of Old National common stock or $48.50 in cash for each share of Anchor they hold.
Old National shares were down 1 cent each Tuesday morning, to $12.50 each.