The parent company of Midland States Bank has agreed to acquire a St. Louis-based bank.
EFFINGHAM — The parent company of Midland States Bank has agreed to acquire a St. Louis-based bank.
Midland States Bancorp announced it plans to acquire Heartland Bank, which has 11 offices in the St. Louis metropolitan area as well as single locations in Branson, Joplin and Springfield, Mo., and Denver, Colo.
Midland States Bank has assets of about $1.7 billion, while Heartland Bank has assets of about $794 million.
St. Louis-based Heartland is not connected to Bloomington-based Heartland Bank and Trust, which has offices in Champaign, Urbana, Gibson City and Farmer City among other cities.
Jack Schultz, chairman of Midland States Bancorp, said Midland entered the St. Louis market about 10 years ago and has experienced steady growth.
"The addition of the Heartland Bank locations and personnel will expedite this growth in a significant way," Schultz stated in a release.
The agreement provides for Midland to merge Heartland Bank into Midland States Bank and operate the acquired branches under the Midland brand. The acquisition would increase the total number of Midland States Bank locations to 48, including 31 in Illinois, 15 in Missouri and one each in Wisconsin and Colorado.
Following the acquisition, Midland would also operate Heartland Business Credit, headquartered in Denver, and Love Funding Corp., based in Washington.
The acquisition is subject to regulatory approvals and is expected to close in the first quarter of 2014.
This would be Midland's ninth acquisition, and its seventh bank acquisition, since 2007.
Heartland has one of the largest residential mortgage origination programs in the St. Louis area. It also provides commercial equipment leasing and multifamily and senior/health care facility financing through its Heartland Business Credit and Love Funding Corp. subsidiaries.
Midland announced that Dave Minton will continue running the Heartland Bank locations after the closing, while Larry White and Mark Dellonte, the presidents of Heartland Business Credit and Love Funding Corp., will continue running those businesses.