SALT LAKE CITY Zion Bancorp. has agreed to buy National Bancorp of Arizona, a $414 million-assets, six-branch company based in Tucson.
The stock-swap deal. expected to close in March, was announced after four months of talks between the community bank and Zions, according to John J. Gisi, chairman and chief executive of National Bancorp, who will become a member of Zions' executive management committee. He said his company did not negotiate with any other party.
Under the agreement, which was subject to a fairness opinion on behalf of Zions by Goldman Sachs & Co., each National Bancorp of Arizona shareholder will receive 0.45 shares of Zions common stock, subject to certain collar arrangements. The deal has an indicated value of about $60.6 million, based on Zions' closing price of $41.625 a share on Monday.
Zions, which has $3.9 billion of assets to rank as Utah's second largest bank, operates 101 banking offices in Utah, Nevada, and Arizona National Bank will be merged into Zions First National Bank of Arizona.
