Wintrust, a bank that's looking to grow in Northwest Indiana, completed an acquisition of a bank with a few south suburban locations.
Wintrust Financial Corp., the parent company of Wintrust, spent $12.5 million to buy Suburban Illinois Bancorp, an Elmhurst-based bank with locations in Markham, Oak Lawn and Chicago's Beverly neighborhood on the South Side. The deal was finalized Friday after clearing regulatory hurdles.
Wintrust, a Rosemont-based bank with more than $20 billion in assets, added locations in Dyer, Lansing, South Holland and Lynwood when it bought out First National Trust of Illinois two years ago. The bank is looking to grow in Lake and Porter counties, though an executive said a further expansion into Northwest Indiana would ideally be organically by adding new branches and not by buying out other banks.
Its latest acquisition is of Suburban, whose 10 locations will be converted to the Wintrust subsidiary, Hinsdale Bank & Trust Co.
"This transaction allows us to expand into the desirable Elmhurst market in a meaningful way and complement our growing presence in other suburban markets," said Edward Wehmer, president and chief executive officer of Wintrust.
"We look forward to continuing the community banking approach that SBT established and to providing their customer base with an expanded array of products and services. Several of Wintrust's community banks will have branches that share market areas with the acquired Suburban branches. As a result of those branch overlaps, we expect to combine approximately six branches during the second half of 2015."
Suburban Illinois Bancorp, which was founded in 1976, attained $488 million in assets and $293 milliion in loans.
"We are excited about partnering with a successful organization that shares a similar philosophy of offering customers highly personalized customer-oriented retail and commercial banking services," Suburban President Donald O'Day said.
"The transaction allows us to continue focusing on serving our customers, while at the same time providing our customers with access to a wider range of products and services."