American Bank and TexStar National Bank jointly announced the signing of a definitive agreement and plan of merger pursuant to which American Bank will acquire TexStar. In accordance with the merger agreement, TexStar will merge with and into American Bank, and the combined banks will operate under the American Bank name and brand following the closing of the transaction.
On Dec. 31, 2021, American Bank acquired ACG Equipment Finance based in Austin, TX.
Founded in 2004, TexStar has six locations in the San Antonio, TX area with total assets of $458 million as of March 31, 2022.
“This is an exciting day for both American Bank and TexStar,” said Stephen C. Raffaele, Chief Executive Officer and President of American Bank. “This acquisition is entirely consistent with American Bank’s growth strategy and long-term strategic plan, while making it even easier for clients in the San Antonio market to gain access to our brand of relationship banking. I’m eager to introduce American Bank to TexStar’s employees and clients. They will not only continue to experience the benefits of working with a community bank that knows them personally and cares about their success, but will also have access to enhanced products, services and technology.”
“Having the opportunity to become part of American Bank and join an organization with a passion for client service at every level is great for our employees and clients,” said Byron Bexley, Chairman and Chief Executive Officer for TexStar. “In American Bank, we found a partner with a strong heritage as a Texas-based community bank. We felt a strong sense of alignment in cultures given American Bank’s mission, values, history of community involvement, and sincere interest in the well-being of its employees.”
“American Bank has always focused on serving our clients and communities with a professional team of bankers,” said Ben B. Wallace, American Bank’s Chairman of the Board. “I’m grateful for the quality of leadership at TexStar and their tremendous experience and enthusiasm for serving the San Antonio community. This is a terrific strategic fit.”
As part of the merger, Byron Bexley will assume the role of Vice Chairman, San Antonio Market, and will lead American Bank’s commercial banking activities in San Antonio. Additionally, Manny Ruiz, TexStar’s current President and Senior Lending Officer, will assume a similar role as American Bank’s President, San Antonio Market.
The combined bank will have total assets of approximately $2.5 billion with locations in the Corpus Christi, Port Aransas, Rockport, Victoria, Goliad, San Antonio, New Braunfels, Austin, and Houston markets. The transaction has been unanimously approved by the boards of directors of both TexStar and American Bank, as well as the bank holding companies of each. The transaction is subject to customary closing conditions, including regulatory approvals.
Stephens Inc. served as exclusive financial advisor for the board of directors of American Bank, and Norton Rose Fulbright US, LLP served as legal counsel to American Bank. The Hovde Group served as exclusive financial advisor and rendered a fairness opinion to the board of directors of TexStar, and Waller Lansden Dortch & Davis, LLP served as legal counsel to TexStar.
About American Bank
American Bank was founded in Corpus Christi, TX in 1970. It is an independent financial institution with assets totaling more than $2 billion as of March 31, 2022. Its services include Commercial Banking, with Centers of Excellence specializing in commercial real estate, medical, energy, SBA and technology lending.
TexStar National Bank is a locally operated bank that began serving the San Antonio community in 2004. TexStar was started by a former small businessman who understood the importance of having a banker you can depend on as he grew his business into one of the great Texas business success stories. From that time, and despite the economic challenges, the bank has grown to nearly $460 million in assets with six locations across the greater San Antonio area.