The deal will expand First National Bank’s presence in Wise County and will strengthen First State Bank’s product offerings to its customers
Texas-based Wichita Falls Bancshares, the holding company of First National Bank, has signed an agreement to acquire Chico Bancorp and its subsidiary First State Bank, for an undisclosed amount.
The deal was approved by the boards of directors of both the banks and subject to regulatory approval and customary closing conditions, it is expected to close in the first quarter of next year.
Established in 1896, as First State Bank of Chico is considered to be one of the oldest locally owned and operated community banks in Wise County.
The bank operates in four locations that include Chico, Bridgeport, Runaway Bay and Paradise in Wise County, Texas.
First National Bank president and CEO Cindy Campbell said: “The relationship we have built with First State Bank leading up to joining our organization has been one we are excited to have developed. First National Bank’s acquisition of First State Bank is the first in our 33-year history and we are pleased to have found such a complementary fit. Together we will be more than $700 million in assets.
“United, we are strategically positioned to better compete in our markets while continuing our growth strategy. We are genuinely looking forward to working with the First State Bank team to get to know its staff, customers and the communities they serve.”
Acquisition to expand market presence of First National Bank
Besides expanding First National Bank’s current market presence, the acquisition is expected to strengthen First State Bank’s presence and product offerings to its customers of almost 10,000 accounts in Wise County and the surrounding area.
John Gosser of Griffin Financial Group acted as financial advisor and Robert Flowers of Fenimore Kay Harrison Ford served as legal advisor to Wichita Falls Bancshares in the transaction
First State Bank president and CEO Steve Holt said: “This merger will improve our ability to service our customers and the demands of a rapidly growing community, while maintaining our commitment to our employees and those we serve.
“The mutual approach to banking, the respect and gratitude for our customers who trust in both institutions for their financial needs, makes this a positive relationship for all of us. We welcome First National Bank to our community as we carry on the tradition of relationships.”