Mergers and Acquisitions
Transaction Details
Deal Overview
Buyer:  Home BancShares, Inc. (Click for buyer financial information)
Target:  Stonegate Bank (Click for target financial information)
Deal Type:  Bank & Thrift Company
Announcement Date 3/27/17   Announced Deal Value ($M) 780.6
Status Completed   Announced Deal Value Per Share ($) 49.00
Completion Date 9/26/17      
Deal Summary
Conway, Ark.-based Home BancShares Inc. unit Centennial Bank has acquired Pompano Beach, Fla.-based Stonegate Bank. Home BancShares Inc. will expand in Florida by 29 branches to be ranked No. 17 with a 1.04% share of approximately $540.56 billion in total market deposits.

Deal Pricing Ratios
  Announcement Completion
Price / Book (%) 196.83 187.55
Price / Tangible Book (%) 240.63 239.86
Price / LTM EPS (x) 22.90 23.57
Price / Deposits (%) 31.89 31.02
Price / Assets (%) 26.90 25.97
Tang Book Premium / Core Deposits (%) 21.09 19.59

Deal Terms

Description of Consideration
Home BancShares Inc. paid $3.27 per share in cash and exchanged 2.0145 shares of its common stock for each of the outstanding share of Stonegate Bank. Exchange ratio was subject to adjustment based on Home BancShares Inc.'s closing price within a $22.52-$35.19 cap/floor. Home BancShares Inc. also assumed Stonegate Bank’s Subordinated debentures.
Accounting Method NA   Lockup Agreement No
In-State Transaction? No   Strike Price ($) NA
Merger of Equals? No   % of Shares Outstanding NA
Geographic Expansion? Partial Overlap   Shares Under Option NA
Goodwill Generated ($000) NA   Core Deposit Intangibles ($000) NA
Estimated Cost Savings (%) 34.00   Est. Restructuring Charges ($000) 18,200
Termination Fee ($000) NA  
Exchange Ratio
(Common For Common)
Consideration Breakout
Cash ($M)   50.1
Common Stock ($M)   733.6
Common Shares Issued   30,863,658
Preferred Stock ($M)   0
Preferred Shares Issued   0
Debt ($M)   0
Other ($M)   0

Deal Advisers

Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes DD&F Consulting Group
RBC Capital Markets LLC
Seller Yes Hovde Group LLC
Keefe Bruyette & Woods Inc.
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Mitchell Williams Selig Gates
Seller Yes Squire Sanders (US)

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