BMO Financial Group, and its U.S.-based subsidiary, Harris Bankcorp, Inc., today announced a definitive agreement to purchase Chicago-area bank Edville Bankcorp, Inc. and its subsidiary, Villa Park Trust and Savings.

Headquartered in Villa Park, Illinois, Villa Park Bank is a privately held community bank with US$288 million in assets and US$263 million in deposits as of March 31. The bank has two locations in the growing DuPage County region, which is located 30 kilometers outside of downtown Chicago.

The purchase price is $80.6 million (US$65.5 million).

BMO says the affect of the transaction on its cash earnings per share will be neutral in year one and modestly accretive in year two.

“We are continuing with our strategy of pursuing opportunities within Chicagoland and in the neighbouring states that are a good fit for our business,” said Tony Comper, BMO president and CEO in a release.

“Village Park Bank is a well-regarded community bank with two desirable locations in DuPage County that nicely complement our existing expansion plans in the Chicagoland area,” said Frank Techar, president and CEO, Harris Bankcorp, Inc.

The deal is expected to close in the fall of 2005, subject to regulatory approval.

Following the closing of this transaction, the acquisition will increase Harris’ network to 173 locations in the Chicagoland area with an additional 19 branches in Northwest Indiana.
http://www.newswire.ca/en/releases/archive/July2005/07/c9419.html