Heartland to expand Kansas City operations with Blue Valley acquisition
Heartland Financial USA in Dubuque, Iowa, has agreed to buy Blue Valley Ban Corp. in Overland Park, Kan.
The $11.3 billion-asset Heartland said in a press release Wednesday that it will pay $93.9 million in stock for the parent of the $725 million-asset Bank of Blue Valley. The deal is expected to close in the second quarter.
The deal will boost Heartland’s operations around Kansas City, Mo. Bank of Blue Valley has five branches, $527 million in loans and $608 million in deposits.
While Bank of Blue Valley will be legally merged into Heartland’s Morrill & Janes Bank and Trust, the resulting institution will operate as Bank of Blue Valley.
Robert Regnier, Bank of Blue Valley’s chairman, president and CEO, will become executive chairman and CEO of the merged bank. Wendy Reynolds, Morrill & Janes’ president and CEO, will continue to serve as president.
“We strongly believe in the prospects of the greater Kansas City metropolitan area,” Lynn Fuller, Heartland’s executive operating chairman, said in the release.
“Bank of Blue Valley complements our existing Kansas franchise, and the synergies resulting from our combined organizations will deliver broader client services, enhance Heartland shareholder value and position us well for continued growth," Fuller added.
Heartland said it expects the deal to be accretive to its earnings per share within the first year of combined operations.
Panoramic Capital Advisors and Dorsey & Whitney advised Heartland. D.A. Davidson and Hunton Andrews Kurth advised Blue Valley Ban Corp.