Southern Missouri Bancorp, the parent corporation of Southern Bank, announced preliminary net income for the Q2 of $7.5M an increase of $2.3M, or 44.2%, as compared to the same period of the prior fiscal year. The increase was attributable to increases in net interest income and noninterest income, and decreases in provision for income taxes and provision for loan losses, partially offset by an increase in noninterest expense
Southern Missouri Bancorp announced that its merger with Gideon Bancshares, the parent company for First Commercial Bank, was completed. Southern Missouri, as the sole owner of both First Commercial Bank and Southern Bank, expects to merge the two banks in early December, with the combined entity to operate under the Southern Bank name. As a result of the merger, each share of Gideon common stock held immediately prior to closing is being exchanged for $72.48 in cash, plus 2.04 shares of Southern Missouri common stock. At October 31, Gideon reported total consolidated assets of $218.5M, loans, net, of $150.1M, and deposits of $170.8M. On a pro forma basis, the combined entity will hold assets of approximately $2.2 billion, including loans, net, of $1.8B, and deposits of $1.8B. The transaction is expected to be immediately accretive to earnings per share, exclusive of one-time charges related to the acquisition, and accretive to tangible book value per common in approximately one year, based on the crossover method.
Southern Missouri Bancorp, the parent corporation of Southern Bank, and Gideon Bancshares, the 92% owner of First Commercial Bank announced the signing of a definitive merger agreement whereby Southern Missouri will acquire Gideon in a stock and cash transaction. Gideon operates ten locations in southeast Missouri. At March 31, Gideon's consolidated assets were $223M, including loans, net of allowance, of $145M, while deposits totaled $176M. Southern Missouri reported consolidated assets at March 31, 2018, of approximately $1.8B, including loans, net, of $1.5B, and total deposits of $1.6B. On a pro forma basis, the combined company's total assets will be approximately $2.1B, with total loans, net, of $1.7B, and total deposits of $1.8B. Under the terms of the merger agreement, unanimously approved by the boards of directors of Gideon and Southern Missouri, Gideon shareholders will receive 2.0486 shares of Southern Missouri common stock and $72.79 in cash for each share of Gideon common stock, subject to adjustment for Gideon's capital at closing and assuming all minority shareholders of First Commercial exchange their interest in First Commercial for Gideon stock prior to closing. Based on the average closing price of $35.53 per share for Southern Missouri common stock over the most recent 20 trading days ending on and including the fifth trading day prior to execution of the definitive merger agreement, the deal is valued at approximately $22.7M.