WINSTON-SALEM, N.C., Dec. 18, 2013 /PRNewswire/ -- BB&T Corporation (NYSE: BBT) announced today the signing of an agreement to acquire 21 branches in Texas from Citibank. The acquisition includes all Citibank's retail branches in the Austin, Bryan-College Station and San Antonio markets, including $1.2 billion in deposits and $134 million in loans. The acquisition expands BB&T's presence in Texas to 81 financial centers, $2.8 billion of deposits and $2.1 billion of loans.
"I want to warmly welcome our new clients and associates to BB&T," said Chairman and Chief Executive Officer Kelly S. King. "This acquisition is a compelling strategic expansion in Texas, where the BB&T brand and approach to client service have been very well received. We are excited about this transaction and look forward to our expanding opportunities in these fast-growing markets."
BB&T will pay a premium to book value of 4.25% of core deposits. Based on Sept. 30, 2013, balances, the expected premium is approximately $36 million.
"This acquisition is a great fit to leverage our current strategy and will allow our Texas operation to make an even bigger contribution to our future success," said President, Community Banking Ricky K. Brown.BB&T's banking presence in Texas was established with its 2009 acquisition of Colonial Bank. Since then, BB&T has significantly expanded in Texas with great success through a targeted de novo strategy. In November 2012, BB&T announced plans to open 30 new commercially focused financial centers during 2013. That plan has been accomplished and, along with the acquisition announced today, has helped establish BB&T as a top-20 bank in Texas with strong momentum to continue its growth. BB&T's Texas presence extends well beyond its core banking operations. BB&T subsidiaries McGriff, Siebel and Williams Inc., BB&T Insurance Services, Regional Acceptance Corporation, BB&T Capital Markets, BB&T Investment Services and Grandbridge Real Estate Capital LLC are well established in Texas. Including today's announced acquisition, BB&T has approximately 1,500 employees in Texas. Deutsche Bank Securities Inc. provided financial advice and Wachtell, Lipton, Rosen & Katz provided legal counsel to BB&T in this transaction.
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