CrossFirst Bankshares unit to acquire Farmers & Stockmens Bank for $75M

Jun. 13, 2022 5:07 PM ETCrossFirst Bankshares, Inc. (CFB)By: Jessica Kuruthukulangara, SA News Editor
  • CrossFirst Bankshares (NASDAQ:CFB) said Monday its unit CrossFirst Bank will acquire Central Bancorp's bank subsidiary Farmers & Stockmens Bank for ~$75M in an all-cash deal.
  • The deal is expected to be $0.17, or 11.7%, accretive to CFB's EPS in 2023, assuming fully phased in cost savings.
  • The EPS accretion estimate is based on anticipated cost savings of 20% of F&S' non-interest expense and does not include impact of potential revenue synergies.
  • The deal is expected to expand CFB's footprint with expansion opportunities in Colorado and New Mexico.
  • The combined firm is projected to have ~$6.2B in assets, $4.9B in loans and $5.3B in deposits.
  • CFB plans to incorporate F&S' SBA and agricultural lending capabilities into its current platform, while bolstering its private banking business.
  • Central Bancorp will retain its wealth management units - The Corundum Group and Corundum Trust.
  • The deal is expected to close in H2 of 2022.

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