Hibernia Corp., Louisiana's second-largest banking company, said Thursday that it had agreed to acquire Bastrop National Bank for about $21.5 million in Stock and First Bancorp of Louisiana for $36 million in stock.
Both bank companies are based in the northeastern part of the state, where Hibernia already has three offices. Bastrop has two banches and $126 million
of assets. First Bancorp has six branches and $225 million in assets.
In an interview on Thursday, Hibernia president and chief executive Stephen Hansel said he expected the acquisitions to "be accretive [to earnings] right away -- at least by the second quarter of 1994."
No Dilution Seen
Mr. Hansel added that the two transactions should not de dilutive to Hibernia's earnings and its share price, although the stock swaps will increase the number of shares in both cases.
"These are fundamentally strong earning banks, and there are economies of scale to be realized,"
Mr. Hansel said. "We'll be selling trust services, home equity lines of credit, and mutual funds, of credit, and mutual funds, and offering fixed-rate mortgage loans to customers who have never had these products before. We have significant chances to improve our results,"
These deals come on the heels of a similar acquisition announced by Hibernia in September.
The $4.6 billion-asset company said then it would acquire Commercial Bancshares Inc. for about $18.7 million in stock.
Commercial Banchshares, with $165 million in assets, it located in the Acadiana region of southeastern Louisiana.
The mergers, which would give Hibernia 116 branches in the state, are scheduled to be completed early next year, Mr. Hansel said.