Kroll Bond Rating Agency views Houston-based Cadence Bancorp.'s proposed merger with Atlanta-based State Bank Financial Corp. as potentially credit positive for Cadence in the medium term.
The rating agency said the stock-for-stock deal will expand Cadence's footprint, strengthen its deposit profile and increase its product offerings.
The deal, valued at about $1.4 billion, is expected to close in the fourth quarter.
The agency added that it does not rate State Bank.