American bank holding company Independent Bank Group has reached an agreement to acquire Guaranty Bancorp in an all-stock transaction valued at $1bn to expand its footprint in Colorado.
Through Guaranty Bank and Trust Company, Guaranty Bancorp manages 32 branches located along the Colorado Front Range, including 14 locations in the Denver metropolitan area.
Guaranty Bancorp had total assets of $3.7bn, total deposits of $3bn, and total tangible common equity of $324.8m, as of 31 March 2018.
Once the transaction is closed, Guaranty Bank and Trust Company will be merged with and into Independent Bank.
As per the agreement, for each share of Guaranty Bancorp, its shareholders will receive 0.45 shares of Independent Bank Group common stock.
Independent Bank Group chairman and CEO David Brooks said: “This transaction represents the build out of our Colorado footprint through the acquisition of a high quality bank operating in dynamic markets along the Front Range.”
“Guaranty is the premier Colorado banking franchise and brings a committed management team, consistent level of high profitability, clean balance sheet, strong core deposit base, and a track record of growth. We are delighted to welcome Guaranty’s clients, shareholders, and employees to Independent Bank Group.”
Upon completion of the merger, Guaranty Bancorp president and CEO Paul Taylor and Edward Cordes, Guaranty Bancorp’s chairman of the board, will join the board of directors of Independent Bank Group.
Michael Hobbs, president of Guaranty Bank and Trust Company, will serve as Colorado market CEO.
Subject to customary conditions, including the approval by shareholders of both bank holding companies, the transaction is scheduled to be complete during the fourth quarter of this year.