FOR IMMEDIATE RELEASE:
DECEMBER 7, 2018
McLaughlin Holding Company to Acquire Gateway Banc Corp.
MOLINE, IL – McLaughlin Holding Company (the “Company”), holding company for SENB Bank (“SENB Bank”), announced today the signing of a definitive merger agreement with Gateway Banc Corp., parent company of Gateway Community Bank (“Gateway Bank”), in Roscoe, Illinois.
Under the terms of the agreement, the Company will acquire 100% of the outstanding stock of Gateway Banc Corp. in an all cash merger transaction. Gateway Bank had approximately $90 million in assets, $68 million in loans, and $67 million in deposits as of September 30, 2018. With the merger, SENB Bank will enter the greater Rockford, Illinois area, the third largest city in the state, and Beloit, Wisconsin, part of the second largest metropolitan statistical area in Wisconsin.
The merger agreement has been approved by the board of directors of both the Company and Gateway Banc Corp. and the acquisition is expected to close in the first quarter of 2019. The transaction is subject to customary closing conditions, including regulatory approval and approval by the shareholders of Gateway Banc Corp..
According to SENB Bank President and Chief Executive Officer, Dan Daly, “We are proud to bring together two banking teams focused on high service and progressive, high value products to serve the banking needs of our customers. Together, we will remain loyal to our customers and our communities”.
“After carefully considering what is best for our shareholders, as well as for our customers and employees and the communities we serve, we believe that our decision to become a part of SENB Bank is the best path forward for our organization,” said Gateway Bank Chief Executive Officer Allen Brewer. “We are confident that SENB Bank will continue to provide the high-quality banking services that our customers have come to expect from us, and we expect a smooth transition when the transaction closes.”
Olsen Palmer LLC is serving as financial advisor to McLaughlin Holding Company with Howard & Howard Attorneys PLLC as legal advisor. Piper Jaffray & Co. is representing Gateway Banc Corp. as financial advisor and Barack Ferrazzano Kirschbaum & Nagelberg LLP is serving as its legal advisor.
About McLaughlin Holding Company.
McLaughlin Holding Company is headquartered in Moline, Illinois and is the parent company of SENB Bank. SENB Bank has proudly been serving the Quad Cities and neighboring communities since forming in 1961 and has grown to $219 million in assets with five banking centers. We believe that a local bank must earn the right to call itself a community bank. We work hard to meet the financial needs of the communities we serve, and we support a wide variety of organizations with leadership, donations, and volunteers. Recently, SENB Bank was recognized as the Quad Cities’ Reader’s Choice as Best Bank in the Quad Cities.
About Gateway Bank Corp.
Gateway Banc Corp is headquartered in Roscoe, Illinois and is the parent company of Gateway Community Bank. With locations in Roscoe, Illinois and Beloit, Wisconsin, Gateway Community Bank has been providing banking services to the Greater Stateline area since 2002. Known for providing excellent customer service and its ability to move quickly when addressing the borrowing, deposit and banking service needs of businesses and residents, Gateway Community Bank continues to expand its reach across Winnebago and Rock counties.
For more information contact
Daniel P. Daly
President & Chief Executive Officer