Old National Bancorp in Evansville, Ind., Wednesday announced a deal to acquire the $850 million-asset Monroe Bancorp for $83.5 million in a stock transaction.

Shareholders of Monroe, of Bloomington, Ind., would receive 1.275 shares of Old National common stock, which closed at $10.47 Tuesday.

The exchange ratio would be adjusted if the $7.7 billion-asset Old National's share price exceeds $10.98, in which case Monroe shareholders would receive $14 of Old National stock.

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.