BancorpSouth Bank and Cadence Bancorporation, the parent company of Cadence Bank, NA, said this week that their merger proposal had received final approval from the Federal Deposit Insurance Corporation (“FDIC”).
The FDIC approval follows recent approvals from the Mississippi Department of Banking and Consumer Credit and shareholders of both companies.
BancorpSouth has many locations in South Arkansas.
The merger, initially announced on April 12, is expected to close at 11:59 p.m. on Sunday, October 31, subject to the usual closing conditions being met.
Upon closing, the merger will create the sixth-largest bank headquartered in the combined nine-state footprint, with a presence in seven of the region’s 10 largest metropolitan statistical areas.
âWe are delighted to have received regulatory approval for this transformational merger,â said Dan Rollins, Chairman and CEO of BancorpSouth, who will lead the combined company in the same capacity. “BancorpSouth and Cadence are both entering this merger from a strong position and will create a business serving some of the most attractive markets in the United States. A combination of this scale offers the opportunity to deliver long-term value to our teammates. , customers, communities and shareholders. “
The combined company will have two headquarters in Tupelo, MS and Houston, with main operations centers in Tupelo and Birmingham, AL.
After the merger closes, BancorpSouth will change its name to Cadence Bank and the company’s ticker symbol will change from BXS to CADE on the New York Stock Exchange.
The branches of both companies will continue to operate under their respective names until the full integration is complete, which is expected to take place in the second half of 2022. Until the integration, customers will not experience any changes in their banking operations and should continue to use their branches, checks, bank cards, online banking and other banking services. Signage and documents will begin to reflect the Cadence Bank name after the integration of corporate banking systems.
Cadence shareholders will receive 0.70 BXS shares for each CADE share they own. In addition, the agreement allows a one-time special cash dividend to CADE shareholders of $ 1.25 per share in conjunction with the closing of the merger.