CIBC To Acquire PrivateBancorp In Cash And Stock Deal - Quick Facts

(RTTNews) - Canadian Imperial Bank of Commerce (CM.TO, CM) announced a definitive agreement to acquire PrivateBancorp Inc. (PVTB) and its subsidiary, The PrivateBank, a Chicago-based middle market commercial bank with $17.7 billion in assets. The transaction will significantly expand CIBC's reach in North America. CIBC will pay $18.80 in cash and 0.3657 of a CIBC common share for each share of PrivateBancorp common stock.

CIBC will satisfy aggregate consideration payable to PrivateBancorp stockholders by paying approximately $1.5 billion in cash and issuing approximately 29.5 million CIBC common shares, representing an approximately 60 percent stock and 40 percent cash mix.

The total transaction value is approximately $3.8 billion or $47.00 of value per share of PrivateBancorp common stock. The transaction is expected to be accretive to CIBC's adjusted earnings per share in year 3.