Financial Advisor and Fairness Opinion
Spirit of Texas Bancshares, Inc.
M&A Advisory
Has Acquired
Transaction Details
- July 19, 2018 – Spirit of Texas Bancshares, Inc. (NASDAQ: STXB), the holding company for Spirit of Texas Bank, SSB, today announced that it has entered into a definitive agreement to acquire Comanche National Corporation and its subsidiary, Comanche National Bank.
- The transaction is valued at approximately $55.9 million, approximately 78% stock / 22% cash, based on STXB’s closing common stock price of $20.36 per share on July 18, 2018
- Comanche brings an attractive core deposit base and low loan to deposit ratio:
- Comanche has a loan to deposit ratio of approximately 40% as of June 30, 2018, with over $180 million in excess deposits
- Reduces pro forma STXB loan to deposit ratio from 105.4% to 88.1%
- STXB effectively utilizes proceeds from May 3, 2018 IPO for a financially attractive transaction:
- Immediate double digit earnings per share accretion
- Adds significant scale and increases opportunity for enhanced efficiencies and profitability
- Additional IPO proceeds available for future acquisitions
Sources: Company filings, SNL Financial and publicly available information
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Note: Reflects bank level financial data as of the most recent quarter available
(1) Based on a STXB closing price of $20.36 on July 18, 2018, and estimated seller transaction costs of $2.8 million
(2) LTM reflects adjustment for one-time DTA revaluation associated with tax legislation of $266 thousand
(3) Assumes a transaction close of 12/31/18 and 75% noninterest expense cost savings realization for the full year
(4) First full year
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