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Mergers & Acquisitions

Return to Mergers & Acquisitions

Deal Overview

Buyer:
First Midwest Bancorp, Inc.
Actual Acquirer:
First Midwest Bancorp, Inc.
Target:
Heritage Financial Services, Inc.
Deal Type:
Bank & Thrift Company
Agreement Date:
1/15/1998
Announcement Date:
1/15/1998
Announced Deal Value ($ M):
407.90
Status:
Completed
Completion Date:
7/1/1998
Announced Deal Value Per Share ($ )
32.61

Consideration Breakout
Common Stock ($M) 423.4
Common Stock Issued 9,628,050

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 337.6 NA
Price / Tangible Book (%) 394.3 NA
Price / Earnings (x) 24.2 NA
Price / Deposits (%) 36.87 37.32
Price / Assets (%) 31.75 31.95
Tangible Book Premium/ Deposits (%) 31.49 30.85
Deal Terms
Description of Consideration

Heritage Financial shareholders received 0.7695 shares of First Midwest common stock for each share held.

Accounting Method Pooling of Interests
In-State Transaction? Yes
Merger of Equals? No
Geographic Expansion? In Market
Goodwill Generated ($ 000) 0
Estimated Cost Savings (%) 30.00
Estimated Cost Savings ($ 000) NA
Est. Restructuring Charges ($ 000) 15,400
Maximum Termination Fee ($ 000) 0
Minimum Termination Fee ($ 000) NA
Exchange Ratio (Common For Common) 0.769500
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement Yes
Strike Price ($ ) 21.2500
% of Shares Outstanding 19.90
Shares Under Option 2,400,000
Core Deposit Intangibles ($ 000) 0
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes Goldman Sachs & Co. LLC
Seller Yes KeyBanc Capital Markets Inc.
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Hinshaw & Culbertson LLP
Seller Yes Barack Ferrazzano Kirschbaum