Business
Simmons First National Corporation and Spirit of Texas Bancshares, Inc. Announce Intent to Merge
Transaction will significantly enhance Simmons’ scale in the Lone Star State; complement existing footprint while expanding into high-growth metro markets -
About this update from Simmons First National Corporation
[{"type":"text","content":"Transaction will significantly enhance Simmons’ scale in the Lone Star State; complement existing footprint while expanding into high-growth metro markets - Austin, Houston, San Antonio, Corpus Christi and Bryan-College Station\nPINE BLUFF, Ark. and CONROE, Texas, Nov. 19, 2021 (GLOBE NEWSWIRE) -- Simmons First National Corporation (NASDAQ: SFNC) (“Simmons” or “Company”) and Spirit of Texas Bancshares, Inc. (NASDAQ: STXB) (“Spirit”) announced today the execution of a definitive merger agreement (the “Merger Agreement”) pursuant to which Simmons will acquire Spirit, and its wholly-owned subsidiary, Spirit of Texas Bank SSB (the “Proposed Transaction”), in a transaction consisting of a mixture of cash and Simmons’ common stock with an aggregate value of approximately $581 million, based on the Simmons’ closing stock price of $31.73 on November 17, 2021. Under the terms and subject to the conditions of the Merger Agreement, shares of Spirit’s common stock and Spirit’s restricted stock units will be converted into the right to receive shares of Simmons’ common stock, and Spirit’s stock options and warrants will be cashed out. Spirit is a Texas-based bank holding company that operates 37 locations primarily in the Texas Triangle – the fastest growing megaregion in the U.S. consisting of the Dallas-Fort Worth, Houston, San Antonio and Austin metropolitan areas – with additional locations in the Bryan-College Station, Corpus Christi and Tyler metropolitan areas, along with offices in North Central and South Texas. As of September 30, 2021, Spirit had total assets of $3.2 billion, total loans of $2.3 billion and total deposits of $2.7 billion. Financial highlights for Simmons, Spirit and on a pro forma basis are shown below (unaudited as of September 30, 2021, except where otherwise noted): ($ in billions)SimmonsSpirit of Texas Pro FormaAssets$25.1$3.2$28.2Loans12.42.314.6Deposits19.62.722.3Branches20937246Texas market share rank (1)47th38th26thSource: S&P Global Market Intelligence; (1) Based on deposit market share data as of June 30, 2021 Note: Simmons data includes the pro forma results of Landmark Community Bank and Triumph Bancshares, Inc. which were acquired by the Company on October 8, 2021. “Spirit is a highly regarded, high performing bank with whom we share a common philosophy – providing outstanding customer service and deve...