The Middle Corridor has quickly become one of the premier destinations for U.S. investment as living costs go down and companies like Apple are building some of their biggest operations in Texas. The 2.6 billion dollar sale of Indianapolis based ExactTarget to Salesforce in 2013 is just one example of the big deals that can and are taking place.
Private Bank
Privatebancorp was organized in 1989 as a Delaware corporation and expanded to become one of the bigger players in the financial market. The company completed a $17 million dollar initial public offering in 1999 and subsequently opened offices in Illinois and Missouri.
The Privatebank would later complete a second stock offering with more Midwest office openings. The business now has offices in 36 locations, primarily in the Middle Corridor. Privatebank offers compelling banking solutions for clients that help advance the goals of those clients.
In 2016, CIBC offered $4 billion dollars to Chicago based Privatebank in an acquisition. Since the election of Donald Trump and the original offer, shares have soared and the deal has not yet been completed. But CIBC is committed to increasing its footprint in the U.S. and would likely sweeten the deal if one is not reached. Privatebank has already proved that companies can have success when operating in the Middle Corridor and that the potential for huge deal sizes like this one definitely exist there.
ITC Holdings Corp.
ITC Holdings is a company with extremely strong roots in the state of Michigan. The company provides a fully regulated high voltage system which provides distribution centers within the state with electricity. In 2005, the company had its first IPO thanks to its continued success. ITC Holdings would later expand its footprint to several other states including Michigan, Iowa, Minnesota, Illinois, and others.
In 2016, Fortis Inc., a Canadian based company, chose to acquire Itc Holdings Corp. for approximately $11.3 billion. In the press release, Fortis cited a need to have a presence in the Midwest as one of the many reasons why they chose to purchase ITC Holdings. And instead of replacing the employees at ITC Holdings, Fortis is committed to retaining the talented employees who have helped build the company into what it is today.
A definite success story, and a huge deal, proves that big deals don’t have to take place exclusively on the coast.
Cover My Meds
In the largest deal ever for a centrally based Ohio startup, McKesson agreed to purchase CoverMyMeds LLC for $1.1 billion. This acquisition came about as a result of the hard work and effort put in not only by the founders at CoverMyMeds but also as a result of hard work from employees. Matt Scantland managed a team with entrepreneurial drive that didn’t ever fade and turned what was once an idea into a successful company.
And they did it all in the Middle Corridor, specifically in Ohio, where the startup community is beginning to grow and develop. CoverMyMeds proved that Ohio has access to superior talent and that was reflected in the company’s continued success.
Other resources available to entrepeneurs in Ohio include the Ohio Third Frontier’s Entrepeneurial Signature program, favorable customers, and the ability to form meaningful partnerships.
Matthew Scantland, founder of CoverMyMeds, sees Ohio’s potential as one of the next startup hubs in the U.S. Scantland hoped in 2016 that Ohio would attract more investment and be seen more for the values it brings to the table for a company looking to place down its roots. Today, we can say that Ohio is growing and the proof is in a deal like this.
