According to Sina Finance APP, Old National Bancorp (ONB.US) announced on Monday that it has reached an agreement on a cash and stocks trade worth 1.4 billion dollars to acquire Bremer Bank's parent company, Bremer Financial. This move will not only make Old National Bancorp the third largest bank in the Saint Paul-Minneapolis area, but also significantly expand its market presence in Minnesota, North Dakota, and Wisconsin.

The total assets of the merged company are expected to exceed 70 billion dollars (based on asset data as of September 30, 2024), while Bremer Financial had total assets, loans, and deposits of 16.2 billion dollars, 11.5 billion dollars, and 13.2 billion dollars respectively as of the same date.

Under the specific terms of the agreement, each outstanding share of Bremer will be converted into 4.182 shares of Old National stocks and 26.22 dollars in cash. Based on Old National's closing price on November 22, this conversion values each share of Bremer at 116.76 dollars.

After the completion of the trade, Otto Bremer Trust, the private charitable reits that currently holds a majority stake in Bremer, will hold approximately 11% of Old National's stocks, and the beneficiaries of the trust will join Old National's board of directors.

In addition, both parties are scheduled to hold a conference call at 9:00 AM Eastern Time in the USA to further discuss matters related to this acquisition.