Simmons First National Corp. of Pine Bluff on Monday announced that it has completed its acquisition of Spirit of Texas Bancshares Inc. of Conroe, Texas.
The cash and stock deal with an announced value of $581 million gives Simmons about $28 billion in total assets, enough to push it past Arvest Bank of Fayetteville as the state's largest bank by assets as of Dec. 31.
The transaction brings Simmons to $14.3 billion in loans and $22.1 billion in total deposits as of that date.
As a result of the deal, Simmons now has $4.8 billion in loans and $4.9 billion in deposits in Texas. Simmons (Nasdaq: SFNC) now has 57 branches in Texas, with new locations in major markets including Houston, Austin and San Antonio.
Conversion of technology systems and customer accounts for Spirit banks were completed over the weekend, Simmons said in a news release. The sites began operating today under the Simmons name.
Simmons CEO George Makris Jr. said the acquisition, announced in November, positions the company to increase shareholder value by bringing a broad array of products, services and digital capabilities to new clients.
"We are grateful to the hundreds of associates across the combined organization who have worked tirelessly to help achieve this milestone in less than five months," he said in the release. "With a shared commitment to serving our customers and supporting the communities where we live and work, we are well positioned to capture future growth in the Lone Star State."
The transaction converted shares of Spirit common stock into 1.0016722 shares of Simmons common stock, with cash paid in lieu of fractional shares and to cash out Spirit stock options and warrants that were outstanding prior to the merger.
Spirit's shareholders approved the deal in February.
It's the second neighboring state in which Simmons has expanded in the past six months. In October, it completed the acquisition and conversion of Landmark Community Bank of Collierville, Tennessee, and Triumph Bancshares Inc., the parent company of Memphis-based Triumph Bank.
Landmark had five offices in Shelby County and three branches in the Nashville area. Triumph had six offices in Shelby County and one in the Nashville area.
Simmons isn't the only Arkansas-based bank with its eyes on Texas. Home BancShares Inc. of Conway this month completed its $962 million acquisition of Happy Bancshares of Inc. of Texas.
