Alston & Bird client West Texas State Bank (WTSB) has entered into a definitive merger agreement with South Plains Financial, Inc. (SPFI), the parent company of City Bank, in an all-cash transaction valued at $76.1 million.
As a result of the transaction, WTSB will be merged with and into SPFI’s wholly-owned banking subsidiary, City Bank, with City Bank continuing as the surviving bank. As of June 30, 2019, WTSB had $429 million in assets, $205 million in loans, and $376 million in deposits.
The merger agreement has been unanimously approved by the boards of directors of WTSB, SPFI, and City Bank and is subject to customary closing conditions, including the approvals of bank regulatory agencies and WTSB’s shareholders.
Alston & Bird is a leader in banking and thrift M&A. In 2018, the firm ranked fourth by deal number and fifth by deal value among more than 100 bank and thrift legal advisors tracked by S&P Global Market Intelligence (formerly SNL Financial).
Advising West Texas State Bank is an Alston & Bird team led by partner Sandy Brown and associate Bart Nebergall (Financial Services & Products); partner Clare Draper (Labor & Employment); partner Blake MacKay (Employee Benefits & Executive Compensation); and partner Scott Harty and associate Seth Buchwald (Federal & International Tax).