Southside Bancshares (SBSI) in Tyler, Texas, has agreed to buy OmniAmerican Bancorp (OABC) in Fort Worth, Texas.
The $3.4 billion-asset Southside will pay about $307 million, or $26.71 a share, in cash and stock for the $1.4 billion-asset OmniAmerican. The companies said they expect to close the transaction during the fourth quarter.
The combined company will have nearly $5 billion in assets and is expected to become the ninth-biggest bank based in Texas, by deposits. The transaction is expected to be accretive to earnings per share in the first full year after closing.
"This merger of two strong institutions is a superb strategic fit, creating a well-capitalized, community-oriented bank with a major presence in east Texas, central Texas, and now Fort Worth," Sam Dawson, Southside's president and chief executive, said in a press release Tuesday. "We see tremendous growth potential in Fort Worth."
All of OmniAmerican's executive management team will remain in place after the merger, the companies said. Tim Carter, OmniAmerican's president and chief executive, will become president of Southside's north Texas region.
Keefe, Bruyette & Woods and Alston & Bird advised Southside. Sandler O'Neill and Haynes and Boone advised OmniAmerican.