Bremer

Deal News | Nov 13, 2024 | EIN

Bremer

Bremer Bank, Minnesota's sixth-largest bank, is reportedly up for sale, with three Midwestern banks, namely Associated Bank, Old National Bancorp, and Bank of Montreal, emerging as potential buyers. The investment bank Stephens Inc. has identified these banks based on their geographical footprint matching Bremer's, which includes 71 offices across Minnesota, Wisconsin, and North Dakota. Bremer Bank, owned by Otto Bremer Trust, holds $13.45 billion in deposits and $16.15 billion in assets, and its sale could potentially reach $2 billion, as reported by the Business Journal in 2019. Each potential buyer has a strategic interest in the Twin Cities market, with BMO Bank being the largest with $264.3 billion in assets. The backdrop of favorable market conditions, including the projected lowering of interest rates and an encouraging M&A environment under the new presidential administration, is fueling this possible acquisition. A previous attempt to sell Bremer led to a protracted five-year legal conflict, settled only recently in July. The timing for this potential transaction appears favorable, with a noted increase in M&A activity among banks with assets under $50 billion, aiming to enhance their market appeal.

Sectors

  • Banking
  • Mergers & Acquisitions

Geography

  • United States – The banks mentioned, including Bremer Bank, are based in the United States, specifically within the Midwest region.
  • Midwest – This region is significant as the potential buyers of Bremer Bank are based here and Bremer's geographic footprint is also within the Midwest.

Industry

  • Banking – This industry involves the financial institutions discussed in the article, especially in the context of a bank acquisition.
  • Mergers & Acquisitions – This industry is relevant as the article is centered around the potential acquisition of Bremer Bank by other financial institutions.

Financials

  • $16.15 billion – Total assets of Bremer Bank.
  • $13.45 billion – Total deposits of Bremer Bank.
  • $2 billion – Estimated sale value of Bremer Bank.
  • $42.16 billion – Total assets of Associated Bank.
  • $53.31 billion – Total assets of Old National Bancorp.
  • $264.3 billion – Total assets of BMO Bank.

Participants

NameRoleTypeDescription
Bremer BankTarget CompanyCompanyA bank based in the Twin Cities with $13.45 billion in deposits and $16.15 billion in assets, owned by the Otto Bremer Trust.
Otto Bremer TrustSelling CompanyCharityThe owner of Bremer Bank, involved in putting the bank up for sale.
Associated BankPotential BuyerCompanyA Green Bay-based bank with $42.16 billion in assets, seen as a potential acquirer aiming to grow in the Twin Cities market.
Old National BancorpPotential BuyerCompanyAn Evansville-based bank with $53.31 billion in assets, another possible acquirer interested in expanding in the Twin Cities.
Bank of Montreal (BMO Bank)Potential BuyerCompanyA major bank with $264.3 billion in assets and a substantial presence in the Twin Cities, making it the largest contender.
Stephens Inc.Analyst/Investment BankCompanyLittle Rock-based investment bank providing analysis on potential buyers of Bremer Bank.
Taft Stettinius & HollisterLegal AdvisorCompanyProviding legal insights into the M&A environment, represented by Joseph Kinning, an M&A lawyer.