Red River Bancshares in Alexandria, La., plans to expand into the Baton Rouge area with a deal to buy Fidelity Bancorp.
After the deal closes, Red River's operations would stretch from Shreveport in northwest Louisiana to Baton Rouge in southeast Louisiana, covering six parishes and including 20 branches and 27 ATMs.
The $1.1 billion-asset Red River Bank, which opened in 1999, has 15 branches in central and northwest Louisiana and 241 employees. The $126 million-asset Fidelity Bank in Baton Rouge has five branches around its hometown and roughly 50 employees.
The merger would expand the branch network for both banks and would "combine our financial resources, knowledge and expertise," Blake Chatelain, president and chief executive of Red River Bank, said in a news release.
The financial terms of the deal, which is expected to be completed in the first quarter, were not disclosed.