PlainsCapital Bank announced Wednesday morning that the company has merged with Hilltop Holdings Inc. of Dallas. PlainsCapital started in Lubbock and still has locations in the Hub City, although in recent years the headquarters had been moved to the Metroplex.
According to a written statement, the two companies "have signed a definitive merger agreement pursuant to which PlainsCapital Corporation will become a subsidiary of Hilltop."
The same statement says, based on Hilltop's stock price on Tuesday, the deal "reflects a combined value of $15.18 per share for PlainsCapital Corporation common stock."
PlainsCapital CEO Alan White will become Vice Chairman of Hilltop and Chairman of the Executive Committee for Hilltop.
PlainsCapital will continue to operate in Lubbock under the same name and with the same employees. Hilltop spokesman Jeremy Ford told KCBD NewsChannel 11 by phone, "This is a holding company buying an operating company."
Founded in Lubbock in 1987, PlainsCapital Corporation now has more than $5.7 billion in assets, 3,400 employees and 330 locations in 40 states.
This is the second major bank deal in Lubbock in less than one year. American State Bank sold to Prosperity Bank of Houston.
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