by Gwen Moritz
Posted 9/14/2012 06:49 pm
Updated 8 months ago
The acquisition is the third by the publicly traded holding company since it sold additional stock in November 2009 specifically for the purpose of buying other banks. The first two were in 2010 in Springfield, Mo., and in Olathe, Kan. CEO J. Thomas May has repeatedly declared Simmons to be on the hunt for good acquisition targets.
Truman Bank, which was chartered in 1988, had approximately $282 million in assets. Simmons purchased approximately $219 million of those assets and assumed "substantially all" of Truman's $246 million in deposits and other liabilities at a discount of $20.9 million and no deposit premium. The rest of the assets, about $63 million, were purchased from the FDIC at a 12 percent discount, according to the bank's announcement.
The FDIC announcement is available here. Simmons becomes the first Arkansas bank to snag an FDIC-assisted deal in 2012 - the first since Bank of the Ozarks won two bids in April 2011.
Truman lost $15.8 million in 2011 and had lost an additional $9.36 million in the first two quarters of 2010, according to FDIC call reports.