Equity Bancshares in Wichita, Kan., has agreed to buy Prairie State Bancshares in Hoxie, Kan.
The $1.6 billion-asset Equity said in a press release Thursday that it will pay $24.5 million, or $327.67 a share, in cash and stock for the $149 million-asset Prairie State. The deal is expected to close in the first quarter.
The acquisition is Equity’s 11th deal in the last 14 years, and will be its third merger in the past two years.
Equity said it expects the deal to be ab out 6% accretive to diluted earnings per share in 2017. The company expects to incur $2.4 million in merger-related costs.
It should take about 1.3 years for Equity to earn back the roughly 0.9% dilution to its tangible book value per share.
Equity was advised by FinPro Capital Advisors and Norton Rose Fulbright.