Simmons First National merges with Spirit of Texas bank
Simmons First National acquired Spirit and its wholly owned subsidiary, Spirit of Texas Bank, for $ 581 million in cash and common stock of Simmons. The definitive merger agreement was signed on November 17.
The parties involved hope to bring synergy and long-term value to shareholders. Under the agreement, Simmons will issue 18,325,000 common shares. That means the merger and acquisition deal will increase Simmons’ earnings per share by 9.8% in 2023.
“Spirit is a highly regarded and high performing bank with which we share a common philosophy: to provide exceptional customer service and to develop deep and lasting relationships with the customers and the communities we serve and where we live,” George Makris Jr., President and CEO of Simmons First National, said in a press release. “Strengthening our franchise in Texas has been a strategic priority and the partnership with Spirit not only enhances our current footprint, but also establishes a platform for growth in Houston, Austin, San Antonio and College Station. These markets have been among the most dynamic in the country in terms of population, and economic activity and projections call for this trend to continue. We believe this merger puts us in an advantageous position to capture future growth in the Lone Star State. “
Simmons First National and Spirit of Texas banks both have banking facilities in Texas. Founded in 1903, Simmons Bank is a banking institution with more than 200 financial centers in several states outside of Texas, including Arkansas, Missouri, Tennessee, Oklahoma, and Kansas.
Spirit of Texas Bank is a primary subsidiary of Spirit of Texas Bancshares Inc., a bank holding company, with 37 locations in Houston, Dallas / Fort Worth, Bryan / College Station, Austin, San Antonio-New Braunfels, Corpus Christi, Austin , and metropolitan areas of Tyler, as well as offices in North Central and South Texas.