Bank of the Ozarks (OZRK) has agreed to acquire Community & Southern Holdings (CSB) and its wholly-owned bank subsidiary, Community & Southern Bank, in a deal worth about $799.6m.
As per the agreed terms of the all-stock transaction, each holder of outstanding shares of common stock of CSB will secure shares of common stock of OZRK.
Following the completion of the deal, CSB will merge into OZRK and Community & Southern Bank will merge into OZRK’s wholly-owned bank subsidiary, Bank of the Ozarks.
CSB CEO and founder Pat Frawley will assume the role of Bank of the Ozarks’ chief executive – Georgia following the completion of the deal.
Founded in 2010, Georgia-based Community & Southern Holdings operates with 47 Georgia banking offices and one Jacksonville, Florida banking office. The bank had about $4.4bn of total assets, $3bn of loans and $3.7bn of deposits as of 30 September 2015.
The deal has already received the green light from the boards of directors of both companies, and is now subject to customary regulatory and shareholder approvals.
Commenting on the takeover, Bank of the Ozarks chairman of the board and CEO George Gleason said: "This combination is a hand in glove fit. The synergies created by our highly complementary combined network of 75 Georgia banking offices, with virtually no overlap, will give us a powerful presence in Georgia, providing customers with great access and convenience.
"The addition of CSB’s Jacksonville, Florida office provides us entry into the favorable Jacksonville market and expands our existing 10-office presence in Florida."