Simmons First Donating Eudora Branch To Southern Bancorp

Pine Bluff-based Simmons First National Corp. says it will donate the Eudora branch of Delta Trust & Bank, which it acquired earlier this year, to Arkadelphia-based Southern Bancorp Bank.

Southern Bancorp is a community development bank that works with underserved communities in the mid-South.

The transaction, terms of which were not disclosed, between Simmons First and Southern Bancorp Bank will close by October 10, 2014.

Simmons said that it is parting with the Eudora branch to comply with federal regulations regarding bank acquisitions. If a bank already has a significant market share within a defined market area, the bank cannot operate the branch. Simmons has a major market share in the region with its nearby Lake Village operations.  It acquired Delta Trust for $66 million in March 2014.

“What some people would view as a challenge due to the federal regulations, we saw as a unique opportunity to bring together two organizations with similar core values,” said George Makris, Simmons First CEO. “Part of the Simmons Bank community banking philosophy includes giving back to the communities in which we serve to improve the quality of life for those within the community.”

“By donating this branch to Southern Bancorp Bank, one of the nation’s oldest and most respected Community Development Financial Institutions, we’re ensuring that the people of Eudora and the surrounding community will have access to uninterrupted financial services as well as a unique array of development services,” Makris added. “We view Community Development Financial Institutions like Southern Bancorp Bank as a valuable resource in the communities that they serve and complementary to our business.”

“Southern Bancorp is excited about expanding our unique brand of banking and development services to Eudora and the surrounding community,” said Southern Bancorp, Inc. CEO Darrin Williams. “Our focus is specifically on rural communities just like Eudora, which means we are aware of both the challenges they face and the opportunities that exist. We are ready to help create those opportunities for the people of Chicot County. I applaud this decision by Simmons First that will ensure continued access to friendly and responsive banking service and capital to the people of Eudora.”

Southern Bancorp, Inc., parent company of Southern Bancorp Bank, was created in 1986 by then Gov. Bill Clinton, Wal-Mart Chairman Rob Walton, the Winthrop Rockefeller Foundation and others who were focused on economic expansion in rural Arkansas.

Southern has over $1 billion in assets and serves more than 80,000 customers in 39 branches across Arkansas and Mississippi.