An Indiana bank said Monday that is buying Whitehall-based Heartland BancCorp in a deal valued at $330 million.
The deal gives German American Bancorp, based in the southwest Indiana town of Jasper, a foothold in one of the fastest growing markets in the Midwest.
“This strategic partnership allows us to partner with another like-minded, larger community bank that enables us to continue our strong brand and growth trajectory within the markets we serve," Heartland Chairman, President and CEO G. Scott McComb said in a statement. "It will also allow us to deepen and broaden our current and prospective customer relationships with enhanced financial service offerings."
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Heartland has 20 banking offices with $1.9 billion in assets, $1.5 billion in loans and $1.6 billion of deposits.
Founded in 1988 with the purchase of Croton Bank, Heartland touts its close ties to its communities while putting a big focus on small-business lending.
The bank has been steady grower over the years, expanding from its central Ohio roots to Cincinnati in 2019 and to Florida in 2021 with a loan office .
It had about 300 employees at the end of 2023, according to its most recent annual report.
Heartland is the ninth biggest bank in central Ohio in terms of deposits, according to the most recent federal data, with 1.4% share of the market.
On Monday, Heartland reported profit of $5.1 million, or $2.45 per share, for the three months that ended June 30.
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The combined bank will have more than $8.1 billion in assets and a branch network of almost 95 rural, suburban and urban locations across southern Indiana, central and northern Kentucky, and central and southwest Ohio.
The deal is expected to close early in 2025. Details were not provided on how Heartland customers will transition to German American customers
Heartland shareholders will receive 3.9 shares of German American stock for each share of Heartland stock. The deal values each share of Heartland stock, which closed at $91.95 Monday, at $155.37.
McComb is expected to join the German American board of directors while members of the Heartland executive and senior teams are expected to stay on as regional management to provide local leadership and decision making.
“This strategic partnership will bring together two high-performing, community-oriented organizations and expand German American’s footprint into Columbus and Cincinnati, Ohio, two of the most vibrant and fastest-growing markets in the Midwest,” D. Neil Dauby, Chairman and CEO of German American, said in a statement.
mawilliams@dispatch.com
@BizMarkWilliams
This article originally appeared on The Columbus Dispatch: Heartland BancCorp to be sold to Indiana bank in $330 million deal
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