CBTX in Houston has agreed to merge with Allegiance Bancshares in Houston.
The companies said in a press release that the $4.2 billion-asset CBTX will be the legal acquirer of the $6.8 billion-asset Allegiance. The deal is expected to close in the second quarter.
Allegiance shareholders will own 54% of the combined company. The name of the holding company and the bank have yet to be determined.
“We are very excited to partner with CBTX with whom we share culture, strategic vision and a commitment to our stakeholders,” Steve Retzloff, Allegiance’s CEO, said in the release.
“This transaction is a true merger of equals, combining the best of our highly-respected community banks which better positions us to serve our customers and drive enhanced financial performance,” Retzloff added. “”Our companies complement each other beautifully and the combined company will be a formidable competitor across our markets.”
The 14-member board will be evenly split between CBTX and Allegiance.
Raymond James and Bracewell advised Allegiance. Stephens, Fenimore Kay Harrison and Norton Rose Fulbright US advised CBTX.