Heartland Financial, through its subsidiary Galena State Bank, has acquired all deposits of The Elizabeth State Bank in Elizabeth, in a loss-share transaction facilitated by the Federal Deposit Insurance Corporation (FDIC).
Galena State Bank and Trust paid a premium of 1% to acquire all of the deposits of the failed bank. In addition, Galena State Bank and Trust agreed to purchase approximately $52.3 million of assets. FDIC will retain the remaining assets for later disposition. As per the acquisition agreement, Galena State Bank and Trust will share in the losses on the asset pools covered under the loss-share agreement.
Lynn Fuller, President and CEO of Heartland Financial, said: “Customers can be assured that their deposits are safe and remain readily accessible. Our banks have been well-capitalized and continue to exceed all regulatory capital requirements.”
Heartland Financial provides banking, mortgage, wealth management, insurance and consumer finance services across 63 banking locations in Iowa, Illinois, Minnesota, Wisconsin, New Mexico, Arizona, Montana and Colorado.
