Banc One Agree To Buy a Thrift From Dana Corp.
Banc One Corp. said Monday that it has signed a definitive agreement to acquire Diamond Savings and Loan Co. from Dana Corp. of Toledo, Ohio.
Along with the thrift, which operates in northern and central Ohio, Banc One will get five mortgage offices in North and South Carolina and a $900 million servicing portfolio, which will become part of Banc One Mortgage Corp.
The purchase price was not disclosed. The deal is subject to approval by regulators and the Banc One and Dana boards.
$25 Million Loss in 1990
Diamond was put up for sale last December when Dana, an auto parts maker with 1990 revenue of $5.2 billion, said the thrift no longer fit its strategy. Dana acquired the thrift in 1980, and in 1990 reported a $25 million operating loss.
The thrift had $905 million in assets at yearend 1990. Banc One said it is buying $830 million in assets, along with $700 million in deposits, and 25 offices in 14 Ohio cities.
Diamond is not quite as big as other buys pending by $31 billion-asset Banc One, including Marine Corp. of Springfield, Ill., with $1.1 billion in assets, and First Illinois Corp. in suburban Chicago, with $1.6 billion.
Access to New Markets
Donald L. McWhorter, chairman and chief executive officer of Banc One Ohio Corp. in Columbus, said the company will gain access to several new markets through the Diamond purchase including the Findlay area. He did not indicate any plans to close branches. Banc One has 382 statewide.
Dana will separately sell two branches in New Philadelphia, which Banc One did not want, and will keep $130 million in commercial real estate loans and properties that have been written down by more than 10%. Banc One will have the option of returning another $60 million of commercial loans if they become classified within 18 months of the deal's closing.