The Stitt Family Trusts has signed a definitive stock purchase agreement to acquire more than 85% stock of Farmers Exchange Bank, an Oklahoma-based lender.
The financial terms of the acquisition were not divulged.
The acquirer also owns 100% stake in Gateway Mortgage Group, a full-service mortgage company licensed in 41 states and the District of Columbia.
Following the completion of the acquisition, Farmers Exchange Bank will be merged with Gateway Mortgage Group to facilitate long-term growth.
The deal is expected to enable the combined entity to offer a broader range of products and reduce the costs for financial services.
The completion of the acquisition is subject to regulatory approval and other customary closing conditions.
Gateway Mortgage Group CEO Stephen Curry said: “We believe this acquisition is an important next step for Gateway Mortgage Group that will allow for growth, providing greater opportunity for employees and the communities they serve.
“Through this acquisition, both Farmers Exchange Bank and Gateway Mortgage Group can expect to gain improved products and technology that will enhance their ability to strengthen the families in their communities.”
After the acquisition, it will also be one of the largest financial services entities in Oklahoma in terms of net income and staff strength.
Established in 2000, Gateway Mortgage Group has more than 160 offices across the US employing more than 1,200 people. Currently, it services $17bn in residential mortgages.