First Commercial Corp. has agreed to purchase City National Bank, Whitehouse, Tex., for approximately $5.4 million in stock.

The deal price equals about 2.1 times book value.

City National Bank, a $40 million-asset bank, serves the Tyler and Whitehouse markets of east Texas through five locations. Deposits total $37 million.

First Commercial said it would issue 174,492 shares of stock for all outstanding shares of City National.

The transaction is subject to regulatory approval, and is expected to close in the fourth quarter.

First Commercial said it plans to fold City National into its Tyler, Tex., bank. The Tyler bank would have seven locations once the acquisition closed.

First Commercial Corp., based in Little Rock, has $5.4 billion in assets.

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