Last week, Independent Bank Group announced that it had reached a deal to acquire Guaranty Bancorp, the holding company for Denver-based Guaranty Bank and Trust Co.
The $1 billion transaction will increase McKinney, Texas-based Independent Bank’s size by 32 percent.
And Paul Taylor, the CEO of Guaranty Bank, told Denver Business Journal that Independent Bank isn’t finished expanding.
“They are in acquisition mode,” Taylor said.
The deal will expand Independent Bank’s reach in Colorado considerably, as only eight of its current 60 branches are in the state. The remainder are in Texas.
Guaranty Bank has 32 branches along Colorado’s Front Range.
Taylor said he does not know the details about how many employees and branches will be retained by Independent Bank.
“I don’t know anything about that,” Taylor said. “That’s their decision, not mine.”
Taylor will be leaving his position and taking a position on the board of Independent Bank. He said he will continue to live in Denver and travel to Dallas for meetings.
Michael Hobbs, president of Guaranty Bank, will become the president of Independent Bank’s Colorado market.
Taylor said he believes that Guaranty Bank’s customers will benefit from the acquisition because they will get the same quality of service with more lending options.
“We will be able to make bigger loans and more loans,” Taylor said.
Taylor said he met Independent Bank CEO David Brooks about a year ago at an investor conference, but didn’t start talking about the acquisition until several months ago.
“We are a publicly-traded company, so we consider all offers,” Brooks said. “It was a very high offer.”
In addition to the high offer, Taylor said he is impressed by the bank and how it is run.
“We saw them as a well-run bank,” Taylor said. “They lend like we do.”
Like Guaranty Bank, Independent Bank is primarily a business bank that does a lot of real estate lending.
Taylor said Guaranty Bank’s location in Colorado also attracted Independent Bank.
“Denver and Colorado are some of the hottest markets in the U.S.,” Taylor said.
He added that Guaranty Bank’s past performance also made them an attractive acquisition.
“We are a great bank,” Taylor said. “We have won awards.”
Taylor said the acquisition should close sometime in the fourth quarter. He said he anticipates that the deal will be met with approval from both regulators and shareholders.
“There should be no issue,” Taylor said. “It’s a very, very high price.”
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Ranked by Inside Deposits
Rank Business name Inside Deposits 1 Wells Fargo Bank NA $24.3 billion 2 FirstBank $12.0 billion 3 U.S. Bank NA $11.9 billion View This List