Regions Financial Corp. and Arkansas Banking Co. of Jonesboro announced an agreement in principle to merge, subject to due diligence and to the signing of a definitive merger agreement.

Regions would exchange 2.85 shares of its stock for each share of Arkansas Banking. At current values, the deal would cost $64 million.

The merger is expected to be accounted for as a pooling and is expected to close during the fourth quarter.

Arkansas Banking has $343 million of assets. It would be the second acquisition in the state for Regions, which has 10 deals pending.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.