trending Market Intelligence /marketintelligence/en/news-insights/trending/l2uLriyj0VabFJHCwPexkQ2 content esgSubNav
In This List

Texas-based First Financial Bankshares to acquire TB&T Bancshares in $190M deal

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Texas-based First Financial Bankshares to acquire TB&T Bancshares in $190M deal

Abilene, Texas-based First Financial Bankshares Inc. agreed to acquire Bryan, Texas-based TB&T Bancshares Inc. and its unit Bank and Trust of Bryan/College Station in a deal valued at around $190 million.

First Financial will issue 6.276 common shares under the terms of the deal. The transaction is expected to be finalized in the first quarter of 2020.

S&P Global Market Intelligence calculates the deal value to be 294.87% of common equity, 300.73% of tangible common equity and 19.66x earnings, on an aggregate basis. The deal value is also 33.67% of assets and 39.03% of deposits, and the tangible book premium-to-core deposits ratio is 28.51%. Ratios are based on TB&T Bancshares' June 30 small parent equity and last-12-months net income of $71.3 million and $10.7 million, respectively.

S&P Global Market Intelligence valuations for bank and thrift targets in the Southwest region between Sept. 19, 2018, and Sept. 19, 2019, averaged 179.09% of book and 183.76% of tangible book and had a median of 13.82x last-12-months earnings, on an aggregate basis.

As of June 30, Bank and Trust of Bryan/College Station had total assets of $624.5 million, total loans of $445.6 million and total deposits of $538.2 million, according to a news release.

First Financial Bankshares, the parent company of First Financial Bank NA, had total assets of $7.98 billion at the end of June. Upon completion of the deal, First Financial Bankshares will enter Brazos County, Texas, with five branches to be ranked fourth with a 10.45% share of about $5.15 billion in total market deposits, according to S&P Global Market Intelligence data.

J.P. Morgan Securities LLC served as financial adviser and Norton Rose Fulbright US LLP acted as legal adviser to First Financial Bankshares in the transaction. TB&T Bancshares was advised by Stephens Inc. as its financial adviser and Fenimore Kay Harrison & Ford LLP as its legal adviser.

To use S&P Global Market Intelligence's branch analytics tools to compare market overlap, click here. To create custom maps, click here.

SNL Image