First Guaranty Bancshares in Hammond, La., has agreed to buy Union Bancshares in Marksville, La.
The $1.9 billion-asset First Guaranty said in a press release Monday that it will pay $43 million in cash for the $261.1 million-asset Union. The deal, which is expected to close in the fourth quarter, priced Union at 150% of its tangible book value.
Union has seven branches, $185.8 million in loans and $209 million in deposits.
“This is a very significant, positive move,” Alton Lewis, First Guaranty’s president and CEO, said in the release.
“This acquisition will move First Guaranty into a part of Louisiana where we have never done business and also tie together all of our operations from north, south and Texas,” Lewis added. “This move will provide great momentum … moving forward with our plans for continued growth and continued improvement in shareholder value.”
