Old Kent to Acquire Indiana Bank Firm

GRAND RAPIDS, Mich. - Old Kent Financial Corp. said it signed a letter of intent to acquire Hasten Bancorp, a $600 million-asset multibank holding company based in Indianapolis.

Old Kent, an $8.3 billion-asset company making its first foray into Indiana, said it would pay Hasten shareholders about $66.6 million: $32.6 million in cash and $34 million in preferred stock.

The preferred stock will have a dividend rate of 7.75% and will be convertible into Old Kent common stock at $34.85 a share.

Old Kent's common shares were trading early Friday at $29.25, unchanged. The company has 29 banking subsidiaries with 200 offices in Michigan and Illinois.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.