A US$5.5 billion deal that would have merged two North Texas financial institutions into a “super-regional bank” is being called off.
Dallas-based Texas Capital Bancshares and McKinney-based Independent Bank Group Inc. described the termination Tuesday as a mutual agreement “given the significant impact of the COVID-19 pandemic on global markets and on the companies’ ability to fully realize the benefits they expected to achieve through the merger.”
The two banks had agreed to an all-stock merger in December. It would have created the largest Texas-based bank in deposits based in the state at US$39 billion, the companies stated at the time, citing S&P Global and Federal Deposit Insurance Corp. data.
Texas Capital also announced Tuesday, May 26, that its longtime CEO, C. Keith Cargill, is stepping down as president and chief executive, effective immediately. Larry L. Helm, the bank’s board chairman since 2012, will become executive chairman, CEO, and president until a permanent successor is found. It hired executive search firm Egon Zehnder to assist in the recruiting process.
“As part of our focus on succession planning, the board believes that it is the right time for a transition in leadership as the company executes a strategy to achieve enhanced operational focus and profitable, long-term value creation,” said a statement from Elysia Ragusa, chair of Texas Capital’s governance and nominating committee.
Full Content: The Dallas Morning News
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