Home Bancorp Inc. in Lafayette, La., has agreed to buy GS Financial Corp. of Matairie, La.
Home Bancorp, which announced the deal late Wednesday, said that it had agreed to pay $26.3 million, or $21 a share, in cash for GS Financial. The price is 95% of the $263 million-asset seller's tangible book value.
The $700 million-asset Home said it should close the deal in the third quarter.
Home, which converted from a mutual to a stock organization in May 2008, said the acquisition would serve as an entry point for expansion into the New Orleans market.
Its thrift had a total risk-based capital ratio of 23.655 at the end of 2010.
GS Financial was wrestling with poor asset quality at yearend. Its nonperforming assets and troubled-debt restructurings accounted for 4.82% of total assets.
