Banks can plan to mitigate margin compression by aggressively lowering cost of funds, look for growth opportunities in what is expected to be an accelerating M&A environment, and consider other opportunities to build shareholder value as they meet the changing needs of their local communities. [Continue]
With Huntington Bancshares’ acquisition of Michigan’s TCF Financial, the M&A market put an exclamation mark on 2020. [Continue]
As we moved through the first quarter of 2020, there was confidence that middle market mergers and acquisitions activity would trend back up for the year. And then the coronavirus pandemic hit. Despite the chaos, activity didn’t dry up completely. While there was a definitive dip initially, the market has bounced back sooner than expected. [Continue]
Days after the Colorado State Banking Board became the first regulator to prevent a credit union from buying a bank, First American Bank in Fort Dodge, Iowa, filed an application with the Iowa Division of Banking to cease operations and sell its assets/liabilities to GreenState Credit Union. [Continue]
The recent trend of credit unions buying banks has become one of the hot topics in the industry. A credit union purchasing a bank is a relatively complex undertaking, and here’s what community banks need to know in order to make an informed decision. [Continue]
After 30 years as CEO of Frandsen Financial Corp., Rich Hoban refocused his role to grow the company through acquisition. When the Arden Hills, Minn.-based holding company closed on its acquisition of Peoples Bank Midwest, Hayward, Wis., Frandsen leaped across the $2 billion-total-assets threshold. Here Hoban reflects on the company’s acquisition strategy. [Continue]
While termination and change-in-control penalties can play a significant role in an M&A transaction, third-party contracts can impact a deal beyond just the financial impact associated with early termination. [Continue]
The number of FDIC-insured institutions in the United States was 5,670 as of March 31, 2018, down from 8,534 on Dec. 31, 2007. Over the past five years, 1,292 institutions have been absorbed by mergers, while the number of failed banks has declined significantly. The trend will continue through 2018 and 2019 based on multiple factors. [Continue]
In the final installment of our M&A series, we cast an eye on employment agreements. In any transaction the treatment of people who work at the selling organization is as important as any other facet of the deal. [Continue]
Continuing the special contract provisions discussion, how should you treat third party vendor agreements, and the allocation of payments for any fees that may arise out of the disposition of those? [Continue]