Seacoast Banking Corp. of Florida in Stuart has agreed to buy Heartland Bancshares in Sebring, Fla.
The $15.2 billion-asset Seacoast said in a press release that it will pay $110 million in cash and stock for the $734 million-asset Heartland. The deal, which is expected to close in the third quarter, priced Heartland at 163% of its tangible book value.
Heartland has four branches, $641 million of deposits, and $161 million of loans. Seacoast plans to about $550 million of Heartland’s cash and securities; $412 million of higher-yielding securities have been pre-purchased.
“Heartland has an outstanding reputation for exceptional service and strong financial performance, with a deep commitment to the communities it serves,” Charles Shaffer, Seacoast’s chairman and CEO, said in the release. “
“We see great opportunity in complementing Heartland’s strengths with Seacoast’s innovative products and breadth of offerings to grow our presence and expand our position in the state,” Shaffer added.
The deal should be 7% accretive to 2026 earnings. It should take just over two years to earn back an estimated 2.4% dilution to Seacoast’s tangible book value.
Seacoast expects to incur $12.3 million of merger-related expenses. It plans to cut about a quarter of Heartland’s annual noninterest expenses.
Piper Sandler and Alston & Bird advised Seacoast. Hovde Group and Smith Mackinnon advised Heartland.