Southern Bank merges with First Commercial Bank
POPLAR BLUFF, Mo. — Southern Missouri Bancorp, Inc., the parent corporation of Southern Bank, and Gideon Bancshares Company (“Gideon”), the parent company of First Commercial Bank (“First Commercial”), has announced the signing of a definitive merger agreement whereby Southern Missouri will acquire Gideon in a stock and cash transaction. As part of the transaction, First Commercial will be merged with and into Southern Bank.
First Commercial operates ten branches in southeast Missouri, with four in Stoddard County, four in Scott County, and two in New Madrid County. On March 31, First Commercial’s assets totaled $223 million, including loans, net of allowance, of $145 million, while deposits totaled $177 million.
Southern Bank reported total assets at March 31, 2018, of approximately $1.8 billion, including loans, net, of $1.5 billion, and total deposits of $1.6 billion. On a pro forma basis, following the acquisition, the combined company’s total assets will approximate $2.1 billion, with total loans, net, of $1.7 billion, and total deposits of $1.8 billion.
“Southern Missouri has a long history in southeast Missouri and we are pleased to add a number of very fine communities to those we serve in the area. We are also excited to bring an expanded presence to Dexter, Missouri, one of the markets we’ve served the longest,” stated Greg Steffens, President and CEO of Southern Bank. “Several of First Commercial’s locations quite nicely complement our existing network of community bank facilities in Dexter, Sikeston, and Cape Girardeau, Missouri, and we look forward to welcoming their customers and staff to our Southern Bank family.”
Brett Dorton, President of First Commercial, is expected to join the executive management team of Southern Bank. “I’ve been privileged to serve First Commercial’s customers and team members for many years, and we are proud of the legacy this organization has built,” said Dorton. “As we join with Southern Bank, I’m confident our customers will be provided the same personal service, along with an expanded ability to meet their needs with useful products and solutions. Southern Bank believes in community banking, and will bring new resources to our communities.”
Southern Missouri and Gideon anticipate completion of the transaction in the fourth quarter of calendar year 2018, subject to satisfaction of customary closing conditions, including regulatory and shareholder approvals, and consummation of an exchange transaction involving the minority shareholders of First Commercial.