Heartland Financial USA in Dubuque, Iowa, has agreed to buy First Scottsdale Bank in Arizona.
The $6.2 billion-asset Heartland said it will pay $17.7 million in cash for First Scottsdale. The deal has received approval from both companies' boards and is expected to close in the third quarter.
Heartland plans to combine $106 million-asset First Scottsdale with its Arizona Bank & Trust unit. Heartland said it expects the transaction to be accretive to its earnings per share within the first full year of combined operations.
The deal will increase Heartland's presence in Scottsdale and Phoenix's East Valley and will also give the company its first office in Gold Canyon.