UMB Financial and Heartland Financial USA received the necessary regulatory approvals from the Office of the Comptroller of the Currency and the Board of Governors of the Federal Reserve System to complete the previously announced acquisition of Heartland by UMB. These approvals follow shareholder approvals for both companies.
“Receiving regulatory approvals is another milestone in completing this historic acquisition,” Mariner Kemper, chairman and CEO of UMB Financial, said. “We remain extremely excited about this momentous expansion of our core services and capabilities, which will benefit both UMB and HTLF customers. As we’ve previously shared, HTLF’s like-minded culture and customer approach are an ideal fit for our business model, our credit and risk profiles and our associates, customers and communities.”
The acquisition is expected to close on or around Jan. 31, 2025.
“We’re pleased this step in the process has been completed,” Bruce K. Lee, president and CEO of Heartland Financial, said. “Our complementary strengths ensure we’ll continue delivering the best products, services and expertise to our customers.”
Upon closing, UMB will have approximately $66 billion in assets (based on assets as of Sept. 30, 2024), elevating it to the top 4% of the 599 publicly traded banks in the United States. The transaction will increase UMB’s private wealth management AUM/AUA by 31% and nearly doubles its retail deposit base. It will also expand UMB’s presence from eight to 13 states.
Finally, five Heartland Financial board members will join the UMB Financial board of directors after final approval by the UMBF board at acquisition close: John Schmidt, Bradley “Brad” Henderson, Jennifer “Jenny” Hopkins, Margaret Lazo and Susan Murphy. With these additions, the UMBF Board will grow to 16 board members.
“We’re excited to add these extremely talented individuals to our board and look forward to working with them in 2025 and beyond,” Kemper said.
Schmidt has served as the independent chairman of the Heartland Financial board since March 15, 2022. He has been the senior vice president and chief financial officer of A.Y. McDonald Industries since 2013 and was named corporate secretary in 2014.
Brad Henderson is the CEO of P33, a nonprofit organization focused on inclusively driving Chicago’s global technology leadership, where he has served since July 2019.
Jenny Hopkins has been a managing partner at Crescendo Capital, a private investment firm for early-stage companies, since 2007.
Margaret Lazo is a senior operating consultant at Cerberus Capital Management, a global private equity firm, where she is engaged in human capital initiatives across its portfolio companies.
Susan Murphy has served as the chairperson of the Heartland Financial audit committee since April 5, 2022. She has been a principal at The Grace Alliance in Denver since 2005, which assists individuals and families in developing and maintaining financial strategies for the future.
The transaction closure is still subject to satisfaction or waiver of the remaining customary closing conditions.
