Simmons First National Corp. of Pine Bluff announced its intention to enter the Oklahoma market by acquiring Southwest Bancorp Inc. of Stillwater.
The pending purchase of the $2.47 billion-asset public company represents the largest Simmons acquisition to date, and it push total assets at Simmons to more than $10.6 billion. The combination stock swap-cash deal, valued at $564.4 million, is expected to close during the third quarter 2017.
Under terms of the agreement, each outstanding share of common stock and equivalents of SBI will be converted into the right to receive 0.3903 shares of the Simmons common stock and $5.11 in cash: all subject to certain conditions and potential adjustments.
In addition to Oklahoma, Southwest's Bank SNB network of 31 branches will also open the door to new markets in Texas and Colorado as well expand the Simmons franchise in Kansas.
Bank SNB operates 18 offices in Oklahoma, five in Texas, four in Kansas and three in Colorado, with total loans of $1.87 billion and deposits of $1.95 billion.
The bank, which employs a staff of 393, recorded net income of nearly $12.9 million through the first nine months of 2016.
Bank SNB reported annual profits of almost $19.3 million last year, more than $21.8 million in 2014, nearly $20.7 million in 2013 and about $18.4 million in 2012.