BancorpSouth to buy banks in Alabama, Texas
BancorpSouth in Tupelo, Miss., has agreed to buy banks in Alabama and Texas.
The $18 billion-asset bank said in separate press releases Tuesday that it will pay up to $43 million for Merchants Bank in Jackson, Ala., and up to $57 million for Casey Bancorp in Dallas. The cash-and-stock deals are expected to close in the first half of next year.
Merchants has six branches, $221 million in assets, $152 million in loans and $195 million in deposits.
Acquiring Merchants will give BancorpSouth added heft in southwest Alabama, Dan Rollins, the bank’s chairman and CEO, said in a release.
Joe Bedwell, Merchants’ CEO, will become BancorpSouth's Clarke County chairman. Jim Reid, the bank’s president and chief financial officer, will serve as BancorpSouth's Clarke County president.
Casey, the parent of Grand Bank of Texas, has four branches, $353 million in assets, $249 million in loans and $323 million in deposits.
Buying Casey "will give us an opportunity to expand our presence in the thriving Dallas-Fort Worth market, as well as position us for greater success in the Texas Hill Country,” Rollins said.
Michael Casey, chairman and CEO of Grand Bank, will serve as BancorpSouth’s Dallas-area chairman.
Merchants was advised by Porter White Capital and Jones Walker. Grand Bank was advised by Commerce Street Capital and Hunton Andrews Kurth. BancorpSouth was advised by Alston & Bird.