Tulsa-based F&M Bancorporation, Inc. has merged with Houston-based Prosperity Bancshares, Inc., it was announced on Thursday.
F&M Bancorporation is the parent company of F&M Bank, which has 10 locations in Tulsa and three in Dallas. Prosperity Bank has completed six merger transactions in the past two years and has one transaction pending.
Under terms of the definitive agreement, Prosperity will issue 3,298,246 shares of Prosperity common stock plus $47 million in cash for all outstanding shares of FMBC capital stock, subject to conditions and adjustments, a news release said.
"Joining Prosperity will accelerate and augment our ability to meet the expanding needs of our customers while maintaining strong commitments to the markets we serve." Eric Davis, President of F&M Bancorporation said.
The merger has been unanimously approved by the boards of directors of both companies and is expected to close during the first quarter of 2014. The transaction is subject to conditions, including the approval of shareholders and customary regulatory approvals.
F&M reported assets of 2.4 billion, total loans of $1.9 billion and total deposits of $2.2 billion.
Prosperity formed in 1983 with $16.3 billion in assets.