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TAMPA -- A bank formed in the midst of a wave of mergers and acquisitions in the late 1990s is now being acquired itself.
Florida Business BancGroup Inc., parent of Tampa-based Bay Cities Bank, was acquired by Centennial Bank's parent, Home BancShares Inc. The deal, once it closes, is expected to be worth $101.6 million in both cash and stock.
“We believe the merger provides immediate and long-term value to our shareholders, and will offer our customers the benefits of Centennial Bank's considerable resources and range of products,” says Gregory Bryant, president and CEO of Bay Cities, in a release.
Once the deal concludes, the six branches in Tampa, St. Petersburg and Sarasota will convert to the Centennial brand.
This is Home BancShares' third Tampa Bay acquisition since 2012, when the Federal Deposit Insurance Corp. assisted the Centennial parent with the purchase of Heritage Bank of Florida in Lutz. The bank bought Florida Traditions Bank in Dade City for $43 million last year
It's part of a massive grow-through-acquisition strategy the Arkansas-based company has deployed over the last 12 years. In that time it's absorbed 19 banks in the south with assets of $8.3 billion, including $541 million from the Bay Cities deal. Home BancShares will have $8.5 billion in total assets once the deal concludes.
Home BancShares, which trades on the Nasdaq under the symbol HOMB, reported a profit in 2014 of $113.1 million, or $1.71 per share, based on revenues of $335.9 million. That compares to a $66.5 million, or $1.15 per share, profit the year before on revenues of $217.1 million.
Founded in 1999, Bay Cities maintains its primary office in Tampa's Westshore District, but also has a second location in South Tampa, as well as in Carrollwood, Lutz and Sarasota.
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