Share “Merger creates Oklahoma's 7th-largest bank”

Merger creates Oklahoma's 7th-largest bank

Houston-based Prosperity Bancshares has agreed to purchase Tulsa-based F&M Bank & Trust Co. in a $244 million cash and stock deal.
by Brianna Bailey Modified: August 29, 2013 at 8:00 pm •  Published: August 30, 2013

Houston-based Prosperity Bancshares has inked a deal to purchase the parent company of Tulsa-based F&M Bank & Trust Co. for $244 million in cash and stock.

The deal includes $47 million in cash and about 3.3 million shares of Prosperity stock valued at $196 million.

F&M Bank operates 13 bank offices in Oklahoma and Texas, 10 in the Tulsa area and three in Dallas. It had more than $2.43 billion in assets at the end of June.

With its merger with Prosperity, the combined bank will be the seventh-largest in Oklahoma, controlling about 3.9 percent of state-based deposits, said David Zalman, Prosperity Bancshares chairman and CEO, during a conference call Thursday.

This will be the second Oklahoma acquisition in the span of a year for Prosperity Bancshares, the parent company of Prosperity Bank.

Prosperity completed its acquisition of Oklahoma City-based Coppermark Bank last spring in a cash-and-stock transaction valued about $194 million.

Together with the Coppermark merger, the deal to acquire F&M will boost Prosperity Bank's presence in Oklahoma, Zalman said.

“It fit our needs to really expand — we always said we wouldn't go to the Oklahoma market to just do one deal,” Zalman said. “This will give us a presence in both major cities.”

F&M had been weighing the cost of going public versus merging with another bank, Zalman said.

Continue reading this story on the...

by Brianna Bailey
Business Writer
Brianna Bailey has lived in Idaho, Germany and Southern California, but Oklahoma is her adopted home. She has a bachelor's degree in Journalism from the Univerisity of Oklahoma and has worked at several newspapers in Oklahoma and Southern...
+ show more


Trending Now


AROUND THE WEB

  1. 1
    Pistons waive forward Josh Smith
  2. 2
    VIDEO: 9-year-old LeBron James Jr. can ball like his dad
  3. 3
    NSYNC's Lance Bass Got Married This Weekend
  4. 4
    OSU baseball: Cowboys ranked No. 5 in preseason poll
  5. 5
    The unbelievable rise of single motherhood in America over the last 50 years
+ show more