Exchange National Bancshares of Jefferson City, Mo., agreed last week to buy a hometown competitor, CNS Bancorp, for $25.5 million of cash and stock.
Under terms of the deal, CNS shareholders are to get $8.80 in cash and 0.15 share of Exchange stock for each share they own. The deal, valued at $17.80 per share, is for 1.17 times CNS' book value and 34.23 times its trailing earnings.
CNS, parent of City National Savings Bank, is a unitary thrift holding company with $93 million of assets and five branches. Exchange has $457 million of assets.
Donald L. Campbell, chairman and chief executive officer of Exchange, said the transaction would expand his company into three new markets and fill several consumer service and lending vacancies on his staff.
The deal is expected to close in the second quarter, and CNS president and CEO Robert E. Chiles is then to become vice chairman of Exchange.
-- Matt Andrejczak