Two Texas bank holding companies have agreed to merge.
Premier Bancshares, La Grange, and South Central Texas Bancshares, Flatonia, have agreed to a merger of equals that would create Texas United Bancshares. The terms of the deal, which is set to close during the third quarter, were not disclosed.
"By combining our efforts under one company, we will be able to introduce new products and services by sharing management expertise, delivery cost, and administrative infrastructure," said Don Stricklin, president of $80 million-asset Premier.
Mr. Stricklin would be president and chief executive officer of Texas United. His counterpart at $81 million-asset South Central, Ervan E. Zouzalik, would be chairman of the board.
"We knew that a strategic alliance made good business sense, but neither of us was willing to sacrifice what we have built," Mr. Zouzalik said. "It was only after we were confident we could work together that the deal was completed."
The three banks owned by the companies will keep their charters and boards after the merger, the executives said.