The First Bancshares, holding company for The First, A National Banking Association, has signed an agreement to acquire Southwest Georgia Financial (SGB), parent company of Southwest Georgia Bank.

The deal comes soon after The First Bancshares’ completed First Florida Bancorp acquisition.

SGB acquisition: Details

Under the agreed terms, SGB shareholder will receive one The First Bancshares share against each share of SGB common stock.

The all-stock transaction values around $88m.

The acquisition will bolster The First’s footprint in Georgia with the addition of eight SGB branches.

Furthermore, it will add around $548m in consolidated assets to The First’s books.

SGB President and CEO DeWitt Drew said: “This partnership brings two complementary banks together and will provide a great opportunity for our employees, customers, and shareholders.

“We are looking forward to joining The First’s exceptional team. For over 90 years we have served the Southwest Georgia markets and could not be more excited to partner with The First to continue our legacy.”

Once complete, the combined company will have nearly $4.5bn in total assets, $3.6bn in total deposits and $3bn in total loans.

Overall, it will operate 86 branches situated across the states of Mississippi, Louisiana, Alabama, Florida, and Georgia.

The SGB acquisition has already been approved by the respective boards of The First Bancshares and SGB.

The transaction is slated to close in 2020 Q2, subject to regulatory approvals, SGB shareholders nod and other closing conditions.