MCGREGOR, Texas (January 7, 2015) — McGregor Bancshares Inc., McGregor, Texas and its subsidiary, First National Bank McGregor (FNB McGregor) have announced the execution of a definitive agreement providing for the acquisition of Oglesby State Bank (OSB) in Oglesby, Texas.
OSB was established in 1925 and currently operates from its headquarters at 117 FM 1996, Oglesby, Texas. As of September 30, 2014, OSB had total assets of $13.6 million and total deposits of $12.1 million. It is the only local financial institution headquartered in Oglesby and ranks seventh in the market share in Coryell County, with 2.04 percent of the market for deposits. In connection with the proposed acquisition, OSB will merge with and into First National Bank McGregor, and the existing banking location of Oglesby State Bank will become a full-service branch banking office of FNB McGregor.
“We have had a long and positive history with Oglesby State Bank, and this transaction makes a lot of sense for both institutions,” said Mike Beard, CEO of First National Bank McGregor. “This is an exciting expansion for us, and we look forward to welcoming Mike Walter, his staff and Oglesby’s customers to the First National Bank McGregor family.”
Mike Walter, the president of Oglesby State Bank, will become a full-service branch president of First National Bank McGregor, and will manage the Oglesby location.
“We believe that our bank is an exceptional fit within the McGregor organization, and we look forward to serving Oglesby as part of McGregor’s exceptional community banking team.”
The terms of transaction were undisclosed, and the transaction is expected to close during the second quarter of 2015, subject to approvals from the appropriate regulatory agencies. SAMCO Capital Markets, Inc. advised McGregor Bancshares, Inc. and First National Bank McGregor in the transaction, with Jacob Thompson serving as lead advisor. Fenimore, Kay, Harrison & Ford, LLP acted as legal advisors to McGregor Bancshares, Inc. and FNB. Beard Kultgen Brophy Bostwick & Dickson, LLP served as legal advisor to Oglesby State Bank, and Sheshunoff & Co. delivered a fairness opinion to Oglesby State Bank in connection with the transaction.
About First National Bank McGregor
Established on July 16, 1889, First National Bank McGregor is the oldest bank in McLennan County and the seventh oldest national bank in Texas still operating under its original charter. Throughout its 125-year history, First National Bank McGregor has served the personal and business banking needs of Central Texas. In 1957 the bank moved from its original location at 217 S. Main to a more modern building two blocks to the south at 401 S. Main. In 2006 the bank opened a South Bosque location on Highway 84 on the eastern edge of McGregor. The full-service South Bosque facility was established to serve the growing population between McGregor and Waco and to support the bank’s online and mobile banking initiatives, along with providing modern conveniences such as debit cards, credit cards, ATMs and Internet banking. First National Bank’s lending team offers commercial, agriculture, real estate, mortgage and auto loans, as well as personal loans, with terms designed to meet the specific customer needs. Visit the bank’s website at https://www.tfnbtx.com/ and go to http://bit.ly/FNBMcGregorFacebook. First National Bank McGregor is an Equal Housing Lender and Member FDIC.
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