Deal expands presence across the Midwest
Associated Bank, based in Green Bay, Wisconsin, announced an all-stock acquisition of American National Bank of Omaha valued at $604 million. The transaction will add 33 branches in Nebraska, Minnesota and Iowa, as well as $5.3 billion in assets, $3.8 billion in loans and $4.7 billion in deposits. Once completed in the second quarter of 2026, Associated will become the No. 2 bank in the Omaha metro area and the No. 10 in Minneapolis-St. Paul by deposits.
Executives said the move strengthens Associated’s Midwest footprint. The bank already operates about 200 branches in Wisconsin, Illinois, Minnesota and Missouri, alongside loan production offices in several states. CEO Andy Harmening described the Omaha expansion as a strategic fit with strong local growth and deep community ties.
Strategic benefits for both banks
American National brings 79,000 deposit accounts and a commercial focus on middle-market and family-owned businesses. Associated is expected to expand this client base with capital markets services, equipment finance and a broader consumer product offering. Founded in 1856, American National is viewed as a strong hyper-local bank with long-standing community relationships.
Under the agreement, shareholders of American National will receive 36.250 Associated shares per share. Based on Associated’s recent closing price of $26.29, the combined company would be 88 percent owned by Associated shareholders and 12 percent by American National. The transaction is projected to be 1.2 percent dilutive to tangible book value at close, with a 2.25-year earnback, and 2 percent accretive to 2027 earnings.
Leadership and regulatory approvals
Both boards have approved the deal, and American National’s two major shareholders, holding 99 percent of the company, have already voted in favor. American National will gain a seat on Associated’s board, to be filled by co-chairperson and co-CEO Wende Kotouc. An Omaha advisory board will also be created, and executive co-chairperson and co-CEO John Kotouc will remain as a consultant.
Harmening said the acquisition supports long-term growth in key markets and aligns with the bank’s strategy to deepen its presence in the Twin Cities and establish itself in Omaha. While further acquisitions are not ruled out, executives emphasized that the deal is based on strategic fit rather than the start of a wave of buyouts.
M&A momentum continues
The deal follows another major acquisition in the region, with Nicolet Bankshares recently agreeing to purchase MidWestOne Financial for $864 million. Analysts say bank consolidation continues to accelerate due to technology costs, regulatory pressures and the need for scale. The third quarter saw the highest level of U.S. bank M&A in four years.
Truist Securities said the transaction strengthens Associated’s branch map, though a strategic gap remains in Iowa. Still, the CEO said the focus is on markets the bank understands and where it can compete effectively.
