trending Market Intelligence /marketintelligence/en/news-insights/trending/gXFGQC6e32LTzIuIgEDgUg2 content esgSubNav
In This List

Simmons bought Tenn. bank in 2015 that had held informal deal talks with Citizens National

Blog

Banking Essentials Newsletter: October Edition

Blog

Banking Essentials Newsletter: September Edition, Part - 2

Video

S&P Capital IQ Pro | Unrivaled Sector Coverage

Video

S&P Capital IQ Pro | Powering Your Edge


Simmons bought Tenn. bank in 2015 that had held informal deal talks with Citizens National

In 2014, several CitizensNational Bancorp Inc. directors and officers visited with UnionCity, Tenn.-based First StateBank's leadership in Union City to share ideas and opportunitiesfor cooperation. Opportunities for a merger were informally discussed.

The banks did not strike a deal, but in May 2014, PineBluff, Ark.-based Simmons FirstNational Corp. agreed to acquire First State Bank. That transaction in 2015.

First State Bank's leadership told Citizens National'sleadership they had decided to take a different path, moving toward achievingliquidity sooner. But they also said they would recommend to the Simmonsleadership that they look toward Athens, Tenn.-based Citizens National and theEast Tennessee market for a subsequent acquisition.

Simmons and Citizens National did explore a possible deal.Citizens National also talked to some other potential acquirers.

Eventually, onMay 18, Simmons,Citizens National and unit CitizensNational Bank executed a stock purchase agreement. The was valued atroughly $77.0 million. In addition to the purchase price, Citizens NationalBank will distribute a one-time cash dividend of $3 million to CitizensNational immediately before the closing.