Home BancShares, Inc. and Florida Traditions Bank Announce Pending Business Combination
April 17 2014 - 9:00PM
Home BancShares, Inc. (Nasdaq:HOMB) ("Home" or "the Company"),
parent company of Centennial Bank ("Centennial"), and Florida
Traditions Bank ("Traditions"), today announced they have entered
into a non-binding letter of intent for the Company to acquire all
of the outstanding shares of Traditions, which will be merged into
Centennial. Traditions' shareholders will receive approximately $43
million of Home common stock. Although the parties have entered
into a letter of intent, there is no guarantee the parties will
enter into a definitive agreement.
Traditions currently operates eight banking locations in Central
Florida, including its main office in Dade City, Florida. As of
March 31, 2014, Traditions had approximately $312 million in total
assets, $249 million in loans, and $279 million in deposits.
"We continue to execute on our very successful acquisition
strategy in Florida and are happy to report another pending
strategic in-market acquisition," said John Allison, Chairman. "We
look forward to continuing to serve the needs of these
communities."
"Traditions Bank is excited to join the Centennial Bank family,"
said Bud Stalnaker, Chief Executive Officer of Traditions.
"Our footprint along the I-4 corridor fits nicely with what
Centennial has built over the past several years. Centennial
is an extremely well run institution and we are looking forward to
helping them expand their presence in Central Florida."
The acquisition is expected to close late in the third quarter
or early in the fourth quarter of 2014 and is subject to execution
of a definitive agreement, shareholder approval, regulatory
approvals, and other customary conditions.
"We are very pleased to have an opportunity to expand our
Central Florida footprint," said Randy Sims, Home's Chief Executive
Officer. "This acquisition would provide more convenient locations
to our Central Florida customers."
Additional information regarding the potential acquisition is
provided in a supplemental presentation available on the Company's
website at www.homebancshares.com, under the "Investor Relations"
section.
General
Home BancShares, Inc. is a bank holding company, headquartered
in Conway, Arkansas. Our wholly-owned subsidiary, Centennial Bank,
provides a broad range of commercial and retail banking plus
related financial services to businesses, real estate developers,
investors, individuals and municipalities. Centennial Bank has
locations in Arkansas, Florida and South Alabama. The Company's
common stock is traded through the NASDAQ Global Select Market
under the symbol "HOMB."
This release contains forward-looking statements which include,
but are not limited to, statements about the benefits of the
business combination transaction involving Home and Traditions,
including future financial and operating results, the combined
company's plans, objectives, expectations, goals and outlook for
the future. Statements in this press release that are not
historical facts should be considered forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements of this type speak only as of
the date of this news release. By nature, forward-looking
statements involve inherent risk and uncertainties. Various factors
could cause actual results to differ materially from those
contemplated by the forward-looking statements, including, but not
limited to, (i) the possibility that the acquisition does not close
when expected or at all because required regulatory, shareholder or
other approvals and other conditions to closing are not received or
satisfied on a timely basis or at all; (ii) changes in Home's stock
price before closing, (iii) the risk that the benefits from the
transaction may not be fully realized or may take longer to realize
than expected, including as a result of changes in general economic
and market conditions, interest and exchange rates, monetary
policy, laws and regulations and their enforcement, and the degree
of competition in the geographic and business areas in which Home
and Traditions operate; (iv) the ability to promptly and
effectively integrate the businesses of Home and Traditions; (v)
the reaction to the transaction of the companies' customers,
employees and counterparties; and (vi) diversion of management time
on acquisition-related issues.
Additional information on factors that might affect Home
BancShares, Inc.'s financial results is included in its Annual
Report on Form 10-K for the year ended December 31, 2013, filed
with the Securities and Exchange Commission.
CONTACT: Home BancShares, Inc.
Brian S. Davis
Investor Relations Officer
(501) 328-4770
Centennial Bank
Randy Sims
Chief Executive Officer
(501) 328-4656
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