CHICAGO -- PrivateBancorp Inc. says its shareholders have voted in favour of a takeover by CIBC (CM.TO).

The approval comes after CIBC twice raised its stock-and-cash offer for the Chicago-based bank in recent weeks, bringing it to $6.8 billion last week.

The outcome of the vote had been uncertain, with shareholder advisory firm Institutional Shareholder Services recommending against the takeover.

Under the deal, PrivateBancorp shareholders would receive US$27.20 in cash and 0.4176 of a CIBC common share for each PrivateBancorp share they hold.

PrivateBancorp says the transaction is still subject to customary closing conditions, including approval by banking regulators in the United States and Canada.

But both banks say they are confident that the remaining closing conditions will be satisfied in time to close the deal in June.

"The vote by the PrivateBancorp shareholders marks an important milestone in the process and we are very pleased with the outcome," CIBC chief executive Victor Dodig said in a statement Friday.

"We look forward to continuing to work closely with the PrivateBancorp team to successfully complete the transaction and realize the full benefits for our shareholders, employees, clients and communities."