Hy-Vee operates in eight states, but it got its start in Iowa
Hy-Vee was started in Iowa in 1930. The grocery store company now operates in eight states.
Ben Yoder, Wochit
- Midwest Heritage Bank, owned by Hy-Vee, is acquiring Iowa Savings Bank to expand its presence in western Iowa.
- The acquisition includes four Iowa Savings Bank locations and all 33 of its employees will be retained.
- This deal combines Midwest Heritage’s over $500 million in assets with Iowa Savings Bank’s over $300 million in assets.
With an eye toward expanding its banking footprint in western Iowa, Hy-Vee’s Midwest Heritage Bank has announced the acquisition of Iowa Savings Bank, a more than century-old institution based in Carroll.
Midwest Heritage is a full-service financial institution with nine branch locations and nearly 150 employees. The acquisition of Iowa Savings includes locations in Carroll, Glidden, Coon Rapids and Lake City.
A Thursday, March 18, news release from West Des Moines-based Hy-Vee says all 33 employees of Iowa Savings Bank will be retained.
With its headquarters in West Des Moines, Midwest Heritage has stand-alone branches in Chariton and Grimes and in-store locations in Ames, Des Moines, Urbandale, West Des Moines and Windsor Heights, as well as Overland Park, Kansas. The bank has over $500 million in assets.
The news release did not reveal the financial terms of the deal between the privately held companies.
Bank combination brings additional expertise
Iowa Savings Bank was established in 1902 with founders including Warren Garst, who went on to serve as lieutenant governor from 1907 to 1908, then governor until 1909, succeeding Gov. Albert B. Cummings, who resigned to accept an appointment to the U.S. Senate. The bank has over $300 million in assets.
“They are an excellent cultural fit for Midwest Heritage, sharing our values as a community bank and our focus on building long-term relationships with our customers,” Tony Kaska, chair and CEO of Midwest Heritage, said in the news release.
Midwest Heritage offers investment and insurance services, but the acquisition of Iowa Savings Bank brings additional expertise in estate planning, asset transfers and legacy management, according to the news release.
“Joining Midwest Heritage allows us to continue serving our customers and communities with the same local focus they expect, while gaining access to additional resources and expanded financial services,” said Bill Hess, chair and CEO of Iowa Savings Bank.
The news release noted that the transaction is still subject to customary regulatory review, approvals and closing conditions.
Kevin Baskins covers jobs and the economy for the Des Moines Register. Reach him at kbaskins@registermedia.com.
Read More: Hy-Vee’s Midwest Heritage Bank acquires Iowa Savings Bank
