Home Bancshares, Liberty Bancshares Deal Closes
by October 24, 2013 5:30 am 90 views
Formally, it’s a done deal.
Home BancShares announced that its previously announced $280 million acquisition of Liberty Bancshares has officially closed. The two bank enterprises both received shareholder approval for the merger on Wednesday.
Liberty Bank will now merge with and into Home Bancshares subsidiary, Centennial Bank.
Under the terms of the agreement announced in June, Home Bancshares will issue approximately 8,764,242 shares of its common stock valued at approximately $290.1 million as of October 23, 2013, plus $30 million in cash for all outstanding shares of Liberty common stock.
Home Bancshares said the transaction is accretive to the company’s book value per common share and tangible book value per common share.
“On a pro forma basis as of September 30, 2013, the projected book value and tangible book value per common share are $12.84 and $8.04, respectively. Additionally the Leverage ratio, Tier 1 risk-based capital and Total risk-based capital are projected to be 8.3%, 10.5% and 11.2%, respectively as of September 30, 2013 on a pro forma basis,” a press release from Home Bancshares stated.
The completion of the acquisition brings the combined company to approximately $7 billion in total assets, $5.4 billion in deposits, $4.4 billion in loans, 153 branches, and 1,500 employees across Arkansas, Florida and Southern Alabama.