Commercial Federal Corporation Completes Acquisition of Midland Bank

Strategic Insights -

Commercial Federal Corporation, a leading financial services provider, has finalized the acquisition of Midland Bank, a privately held commercial bank based in Missouri. This strategic move marks a significant expansion of Commercial Federal's presence in the Kansas City metropolitan market. The acquisition brings together the strengths of both institutions, creating a more comprehensive financial services platform for customers.

Key Takeaways:

  • Commercial Federal Corporation acquired Midland Bank for $83 million in cash, including $17 million used to pay off debt and redeem preferred stock.
  • Midland Bank operated eight offices in the Kansas City metropolitan area and had assets of approximately $412.6 million, deposits of $358.7 million, and stockholders' equity of $28.1 million at December 31, 1998.
  • The acquisition expands Commercial Federal's presence in the Kansas City market and enables the company to offer community banking services to the region.
  • Commercial Federal has 252 branches across eight states, including Iowa, Colorado, Nebraska, Kansas, Oklahoma, Missouri, Arizona, and South Dakota.
  • The company's operations include consumer and commercial banking, mortgage banking, consumer and business lending, agricultural lending, insurance, trust, and investment services.
  • Commercial Federal shares are traded on the New York Stock Exchange under the symbol "CFB."

Statistics:

  • Acquisition price: $83 million
  • Proceeds used to pay off debt and redeem preferred stock: $17 million
  • Midland Bank's assets: approximately $412.6 million
  • Midland Bank's deposits: approximately $358.7 million
  • Midland Bank's stockholders' equity: approximately $28.1 million
  • Number of Commercial Federal branches: 252
  • States where Commercial Federal operates: 8
  • Total states served by Commercial Federal's 252 branches: Iowa, Colorado, Nebraska, Kansas, Oklahoma, Missouri, Arizona, Minnesota, and South Dakota.

Sources:

  • Commercial Federal Corporation (NYSE: CFB) press release, March 1 (PRNewswire)