Sterling, Ill.-based Sauk Valley Bank is buying a pair of branches from Illinois Bank & Trust, Rockford.
The branches, in Sterling and Rock Falls, Ill., have combined deposits of $16 million as of June 30, 2018. The Rock Falls office will merge with the Sauk Valley office in Rock Falls, but the Sterling office will open post-acquisition.
“These two offices will be a natural fit with the geographic footprint and culture of Sauk Valley Bank, and we look forward to further building relationships in the Sterling and Rock Falls communities. We extend a warm welcome to the Illinois Bank & Trust branch customers and employees to our organization,” said Dirk Meminger, president and CEO of the $415 million Sauk Valley Bank, which has branches in Sterling, Rock Falls, Dixon and Harvard, Ill., with loan production offices in Bettendorf, Iowa, and Janesville, Wis.
The sale allows Illinois Bank & Trust to focus on other growth markets in the state. “Reaching this agreement with a community bank such as Sauk Valley Bank makes the most sense for our customers,” said President Jeff Hultman.
Illinois Bank & Trust will have seven other branches in Jo Daviess and Winnebago counties in Illinois following close of the deal, expected in the second quarter of 2019.
Illinois Bank & Trust also announced it has hired Eric Magnuson as a vice president in commercial banking. He has 10 years of banking experience and a Bachelor of Science degree in business management from Rasmussen College.
The $795 million Illinois Bank & Trust is a subsidiary of the $11.5 billion Heartland Financial USA, Dubuque, Iowa, which operates 10 other charters around the country.