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Prosperity to acquire rival Houston bank in $2 billion deal
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Processing ContentProsperity Bancshares in Houston has agreed to pay $2 billion for crosstown rival Stellar Bancorp in a deal that would create the second-biggest Texas-headquartered bank.
The planned acquisition of Stellar is the third deal Prosperity has announced since mid-July.
Its $269 million deal for the $2.52 billion-asset Southwest Bancshares in San Antonio is expected to close Feb. 1.
The merged Prosperity is projecting $42 billion of deposits at closing.
Piper Sandler's Stephen Scouten noted that the $39.08 per share price tag amounted to a 20% premium over Stellar's Tuesday closing price of $32.63.