M&A · Financials · Savings Institution, Federally Chartered
Alerus Financial Corp to acquire HMN Financial Inc
Announced May 15, 2024 · Closed Oct 9, 2024
Deal value$116M
Premium—To unaffected price
EV / Adj. EBITDA—
ConsiderationAll stock
Transaction
- Acquirer
- Alerus Financial Corp (ALRS)
- Target
- HMN Financial Inc
- Buyer type
- Strategic
- Offer price per share
- —
- Enterprise value
- —
- Status
- Closed Oct 9, 2024
Deal protections
- Break fee (target pays)
- $4.6M · 4.0%
- Reverse fee (buyer pays)
- $4.6M · 4.0%
- Go-shop
- No-shop
- Financing
- —
Advisors
- To the acquirer
- Raymond James
- To the target
- D.A. Davidson
Sector context · Financials
- Comparable deals
- 56 in the prior 24 months
- Premium
- Sector median 34.0%
- EV / Adj. EBITDA
- Sector median 15.6x
- Break fee
- 4.0% vs. 3.0% sector median
Timeline
- AnnouncedMay 15, 2024
- Proxy filedAug 1, 2024
- Definitive proxyAug 1, 2024
- Shareholder voteSep 12, 2024
- ClosedOct 9, 2024
Valuation · fairness opinions
Precedent transactions$13.60$35.25
Precedent transactions$13.19$36.38
Other analysis$12.86$32.68
Other analysis$13.21$33.23
Implied value per HMN Financial Inc share by analysis, from D.A. Davidson · DCF discount rate 9.59%–21.59%.