Fifth Third to Buy Old Kent Financial

Fifth Third Bancorp. said it would buy fellow Midwestern bank Old Kent Financial Corp. for about $4.7 billion in stock, its biggest deal ever and one that solidifies its position in the Chicago area and Michigan. The combined bank would have $69.1 billion in assets, $43.8 billion in deposits and 980 branches, mostly in Ohio, Indiana, Michigan, Illinois and Kentucky. Cincinnati-based Fifth Third said it would swap 0.74 of a share of its stock for each share of Grand Rapids, Mich.-based Old Kent, valuing Old Kent at about $33.86 a share, a 35% premium over its Friday close of $25. Old Kent shares climbed $8.56, or 34%, to close at $33.56, while Fifth Third shares fell $1.69 to close at $46.38 on Nasdaq.