TUPELO • A little more than a month after announcing it’s acquiring a Texas-based bank, BancorpSouth Bank announced Wednesday it was acquiring Scottboro, Alabama-based FNS Bancshares Inc., the parent company of FNB Bank.
FNS, founded in 1900, operates 17 full-service banking offices in Alabama, Georgia and Tennessee. The merger will expand BancorpSouth’s presence in Jackson, DeKalb and Marshall counties in Alabama and the Chattanooga, Tennessee-Georgia and Nashville-Davidson-Murfreesboro-Franklin, Tennessee metropolitan statistical areas.
Once completed, the merger also marks BancorpSouth’s entrance into Georgia.
As of Sept. 30, 2020, FNS reported total assets of $786.5 million, total loans of $492.5 million and total deposits of $665.9 million.
Under the terms of the merger agreement, BancorpSouth will issue 2.975 millions shares of common stock, plus $18 million in cash in exchange for FNS shares. The agreement is value at about $108.4 million, or $90.04 per share of FNS common stock.
“We are excited about this partnership and look forward to welcoming FNS’s teammates and customers to BancorpSouth,” said BancorpSouth Chairman and CEO Dan Rollins. “FNS is a 120-year-old institution with deep ties in its local markets and is an ideal fit with our culture as a relationship-driven community bank. We’re looking forward to working with its experienced team of bankers to assist even more families and businesses with their banking needs.”
Upon completion of the merger, FNS CEO Steve Rownd will serve as a BancorpSouth division president.
The merger, expected to close in the first half of this year, has been unanimously approved by both companies’ boards of directors.
Last month, BancorpSouth announced it was acquiring the six branches of Gatesville, Texas-based National United Bancshares, adding total assets of $748.6 million, total loans of $450.6 million and total deposits of $672.5 million. That merger is expected to be completed by the first half of this year as well.
The merger and acquisition of FNS is BancorpSouth’s 10th since January 2018.