First Busey Corp. is gearing up for another M&A pursuit in the near future.
With its integration of Banc Ed Corp. nearly complete, the Champaign, Ill.-based bank is signaling that a deal could be on the not-too-distant horizon.
The company recently brought on Jeffrey Jones, a veteran investment banker who had previously worked on M&A in the banking sector, as its CFO. And with $9.61 billion in total assets, First Busey is eyeing where it could expand next to break through the $10 billion asset threshold.
"Going into the back quarter of 2019, we're in good shape to tackle that $10 billion threshold," said Robin Elliott, president and CEO of First Busey-owned Busey Bank, on Sept. 4 at the Raymond James U.S. Bank Conference in Chicago. "Whether that be through one larger one or a series of smaller ones, it's something we realize we're going to have to tackle through M&A."
First Busey is in "various stages of relationship building with different organizations" across a number of Midwest markets, Elliott said. The executive zeroed in on Indiana as a state where First Busey "would love to do something." Currently, only one of First Busey's 90 branches is in Indiana.
Breaking $10 billion in assets would force First Busey to meet a whole new regime of regulatory requirements, including restrictions on its debit card interchange income under the Dodd-Frank Act's Durbin amendment. But First Busey executives are moving full-steam ahead on their next growth stage.
"We think we're ready to heat up the talks again on M&A," Elliott said.
