Mergers and Acquisitions
Transaction Details
Deal Overview
Buyer:  First National Corporation of Wynne (Click for buyer financial information)
Target:  Bank of Harrisburg (Click for target financial information)
Deal Type:  Bank & Thrift Company
Announcement Date 4/20/05   Announced Deal Value ($M) 14.9
Status Completed   Announced Deal Value Per Share ($) NA
Completion Date 8/1/05      
Deal Summary
First National Corp. of Wynne will acquire Bank of Harrisburg, a subsidiary of Lake Hamilton Enterprises Inc. First National will expand its market share in Poinsett County, AR with a No. 2 ranking and a 20.1% share of approximately $291.0 million in total deposits. Harold Hardwick, president of First National Bank commented that there are "no immediate plans" to get rid of the Bank of Harrisburg charter. On April 15, Lake Hamilton Enterprises entered into a tentative agreement to sell the holding company and its other subsidiary, First Team Bank, to First Arkansas Bancshares Inc.

Deal Pricing Ratios
  Announcement Completion
Price / Book (%) 235.01 223.91
Price / Tangible Book (%) 235.01 223.91
Price / LTM EPS (x) 15.25 15.63
Price / Deposits (%) 24.57 25.45
Price / Assets (%) 22.06 21.84
Tang Book Premium / Core Deposits (%) 18.91 19.82

Deal Terms

Description of Consideration
First National Corp. paid an amount in cash equal to 2.35 times the March 31, 2005 equity value of Bank of Harrisburg.
Accounting Method NA   Lockup Agreement No
In-State Transaction? Yes   Strike Price ($) NA
Merger of Equals? No   % of Shares Outstanding NA
Geographic Expansion? In Market   Shares Under Option NA
Goodwill Generated ($000) NA   Core Deposit Intangibles ($000) NA
Estimated Cost Savings (%) NA   Est. Restructuring Charges ($000) NA
Termination Fee ($000) NA  
Consideration Breakout
Cash ($M)   14.9
Common Stock ($M)   0
Common Shares Issued   0
Preferred Stock ($M)   0
Preferred Shares Issued   0
Debt ($M)   0
Other ($M)   0

Deal Advisers

Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer No NA
Seller Yes DD&F Consulting Group
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Quattlebaum Grooms Tull
Seller Yes McAfee & Taft

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