Mergers & Acquisitions

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Deal Overview

Buyer:
Alerus Financial Corporation
Actual Acquirer:
Alerus Financial Corporation
Target:
Private Bancorporation, Inc.
Deal Type:
Bank & Thrift Company
Agreement Date:
3/7/2014
Announcement Date:
3/10/2014
Announced Deal Value ($ M):
3.30
Status:
Completed
Completion Date:
6/25/2014
Announced Deal Value Per Share ($ )
NA

Consideration Breakout
Cash ($M) 13.6

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 90.2 96.5
Price / Tangible Book (%) 90.2 96.5
Price / Earnings (x) NM NM
Price / Deposits (%) 2.60 2.59
Price / Assets (%) 2.32 2.31
Tangible Book Premium/ Deposits (%) (0.30) (0.10)
Deal Terms
Description of Consideration

Alerus Financial Corp. paid $3.3 million in cash for all of the outstanding shares of Private Bancorp. Inc. common stock. Alerus Financial Corp. also paid $10.3 million for Private Bancorp. Inc.'s TARP preferred stock and $2.3 million for senior debt obligations in connection with the transaction. Alerus Financial Corp. may pay additional contingent cash consideration depending on the performance of certain specifically identified assets. Target financials are for Private Bank Minnesota.

Accounting Method Acquisition
In-State Transaction? No
Merger of Equals? No
Geographic Expansion? In Market
Goodwill Generated ($ 000) 852
Estimated Cost Savings (%) NA
Estimated Cost Savings ($ 000) NA
Est. Restructuring Charges ($ 000) 2,000
Maximum Termination Fee ($ 000) NA
Minimum Termination Fee ($ 000) 0
Exchange Ratio (Common For Common) NA
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement No
Strike Price ($ ) NA
% of Shares Outstanding NA
Shares Under Option NA
Core Deposit Intangibles ($ 000) 1,200
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer No NA
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Barack Ferrazzano Kirschbaum
Seller Yes Lindquist & Vennum LLP