Old National Bancorp To Acquire Anchor BanCorp Wisconsin In $461 Mln Deal

(RTTNews) - Old National Bancorp (ONB) and Anchor BanCorp Wisconsin Inc. (ABCW) announced the execution of a definitive agreement under which Old National will acquire Anchor through a stock and cash merger.

As per the terms of the agreement, Anchor shareholders may elect to receive either 3.5505 shares of Old National common stock or $48.50 in cash for each share of Anchor they hold, subject to no more than 40% of the outstanding shares of Anchor may receive cash. Based on Old National's 10-day average closing share price through January 8, 2016 of $13.34, this represents a total transaction value of approximately $461 million.

The transaction value is likely to change until closing due to fluctuations in the price of Old National common stock and is also subject to adjustment under certain limited circumstances as provided in the merger agreement.

The definitive merger agreement has been unanimously approved by the Board of Directors of both Old National and Anchor.

The transaction remains subject to regulatory approval and the vote of Anchor shareholders. The transaction is anticipated to close in the second quarter of 2016