Mergers & Acquisitions

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Deal Overview

Buyer:
Old National Bancorp
Actual Acquirer:
Old National Bank
Target:
Anchor Bancorp, Inc.
Deal Type:
Bank & Thrift Company
Agreement Date:
8/7/2017
Announcement Date:
8/8/2017
Announced Deal Value ($ M):
303.28
Status:
Completed
Completion Date:
11/1/2017
Announced Deal Value Per Share ($ )
24.83

Consideration Breakout
Cash ($M) 31.9
Common Stock ($M) 298.6
Common Stock Issued 16,527,050

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 174.4 191.1
Price / Tangible Book (%) 190.5 208.7
Price / Earnings (x) 17.1 18.7
Price / Deposits (%) 17.66 19.35
Price / Assets (%) 14.75 16.16
Tangible Book Premium/ Deposits (%) 8.62 10.36
Deal Terms
Description of Consideration

Old National Bancorp paid $2.625 in cash and issued 1.35 shares of its common stock for each of the outstanding share of Anchor Bancorp Inc. Consideration was subject to certain adjustments. Old National Bancorp also assumed Anchor Bancorp Inc.’s $9.7 million trust preferred securities. Anchor Bancorp Inc.’s $6.7 million preferred shares were redeemed with cash at closing.

Accounting Method Acquisition
In-State Transaction? No
Merger of Equals? No
Geographic Expansion? Market Expansion
Goodwill Generated ($ 000) 173,785
Estimated Cost Savings (%) 36.00
Estimated Cost Savings ($ 000) 20,000
Est. Restructuring Charges ($ 000) 25,200
Maximum Termination Fee ($ 000) 11,400
Minimum Termination Fee ($ 000) 0
Exchange Ratio (Common For Common) 1.350000
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement No
Strike Price ($ ) NA
% of Shares Outstanding NA
Shares Under Option NA
Core Deposit Intangibles ($ 000) 26,606
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes Keefe Bruyette & Woods Inc.
Seller Yes Sandler O'Neill & Partners LP
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Krieg DeVault LLP
Seller Yes Barack Ferrazzano Kirschbaum