HARLINGEN, TX--(Marketwired - Jun 6, 2013) - Harlingen-based Texas State Bankshares, Inc. and McAllen-based Border Capital Group, Inc. announced today they have entered into a definitive agreement to merge Border Capital Bank with Texas Regional Bank, pending regulatory and shareholder approval. As a result of the merger Texas Regional Bank will have eight banking centers from McAllen to Brownsville and in Falfurrias, Texas, with assets in excess of $350 million and capital of more than $50 million. Ownership of the combined organization will spread across more than 500 shareholders in South Texas.
"This merger will build on the momentum of Texas Regional Bank while blending the Trust services and operational efficiencies of Border Capital Bank," said Michael Scaief, Chairman of Texas Regional Bank. Mark Richards, Chairman of Border Capital Bank, commented, "We will have one of the strongest capital ratios of any bank operating in the Rio Grande Valley and will provide customers with increased credit capacity and more locations and services."
Texas Regional Bank began operations in May of 2010 with the acquisition of Falfurrias State Bank which had one banking center and $18 million in assets. Today, Texas Regional Bank has locations in Brownsville, Harlingen, Falfurrias and McAllen and has assets in excess of $175 million. Border Capital Bank began operations in McAllen in 1984 and has since expanded the bank through Trust services and four locations in McAllen and Edinburg. Today, Border Capital Bank has in excess of $160 million in assets.
"The merger combines a team of seasoned bankers throughout the Valley who are accustomed to building customer relationships while being supported by robust technology," explained Paul Moxley, CEO of Texas Regional Bank. "This merger is about two community banks that complement each other in size, products, service commitment and focus on being the 'Bank of Choice' in the Valley," remarked Joe Brown, President and CEO of Border Capital Bank.
Michael Scaief will continue as Chairman and President of Texas State Bankshares, Inc. and Chairman of Texas Regional Bank. Mark Richards will join the boards of Texas State Bankshares, Inc. and Texas Regional Bank. Paul Moxley will serve as Chief Executive Officer and Joe Brown as Chief Operations Officer of Texas Regional Bank.
The merger is subject to receipt of all necessary regulatory and shareholder approvals and is expected to be completed in the fourth quarter of 2013.
- Investment & Company Information