First Illinois Corporation to Acquire Hickory Point Bank & Trust
25.01.2011 | Business Wire
Transaction will maintain local jobs, customer services
First Illinois Corporation has reached an agreement with Archer Daniels
Midland Company (NYSE: ADM) to acquire a majority interest in Hickory
Point Bank & Trust, fsb., a community bank headquartered in Decatur,
Ill., with seven branch locations throughout Central Illinois. First
Illinois Corporation, also headquartered in Decatur, Ill., is led by
current Hickory Point Bank & Trust management and was formed for the
sole purpose of acquiring the bank. Terms of the agreement are not being
disclosed.
The transaction is subject to regulatory approval and is expected to be
completed by June 30, 2011. The bank will retain the Hickory Point Bank
& Trust name.
'Hickory Point Bank & Trust is among the most well-respected financial
institutions in Central Illinois,? said Anthony Nestler, executive vice
president, Hickory Point Bank & Trust. 'The bank′s management team will
continue to offer customers the high level of service Hickory Point Bank
has provided for years.? Nestler is a member of the bank′s senior
management team and will be named president and chief executive officer
of Hickory Point Bank & Trust once the transaction is completed.
The First Illinois Corporation management team also includes current
Hickory Point Bank & Trust officials Doug Schmalz, Brett Swallow and
Leon Mizeur. Corydon C. Nicholson, the current president of Hickory
Point Bank & Trust, has decided to not join the new management team and
will remain with ADM.
The management team has reached a long-term service agreement with ADM,
and ADM will remain a key customer. ADM will also retain minority
ownership interest in the financial institution for an undetermined
period of time.
'We continually review our business strategies, and the decision was
made to sell majority interest in Hickory Point Bank & Trust because we
can receive the necessary banking services without owning the bank,?
said Steve Mills, ADM senior executive vice president, Performance and
Growth. 'This transaction allows us to redeploy our capital in new ways
to help continue to grow our business.?
'In seeking new ownership, we sought to find a company that would
maintain Hickory Point Bank & Trust as a community bank and preserve
local jobs,? said Mills. 'We believe First Illinois Corporation will
carry out this vision and continue our commitment to the security and
soundness of the institution.?
ADM purchased Eagle State Bank, with assets of $8.5 million, in 1986,
and renamed it Hickory Point Bank & Trust. Today, the Federally
Chartered Savings Bank has assets of $864 million and seven branch
locations in Illinois, including Forsyth, Mt. Zion, Champaign,
Springfield and three locations in Decatur.
About ADM
Every day, the 29,000 people of Archer Daniels Midland Company (NYSE:
ADM) turn crops into renewable products that meet the demands of a
growing world. At more than 240 processing plants, we convert corn,
oilseeds, wheat and cocoa into products for food, animal feed, chemical
and energy uses. We operate the world′s premier crop origination and
transportation network, connecting crops and markets in more than 60
countries. Our global headquarters is in Decatur, Illinois, and our net
sales for the fiscal year ended June 30, 2010, were $62 billion. For
more information about our company and our products, visit www.adm.com.
Archer Daniels Midland Company
ADM Media Relations
217-424-5413
media@adm.com