Pilgrim to acquire State National Bank of Texas

Lonnie “Bo” Pilgrim, Chairman Emeritus of Pilgrim Bancorporation and Pilgrim Bank, and Bert Williamson, Chairman of North Central Texas Bancshares, Inc., announced last week that they have signed a definitive agreement for Pilgrim Bancorporation to acquire North Central Texas Bancshares, Inc., the parent company for State National Bank of Texas. State National Bank of Texas is a banking association with offices in Iowa Park, Wichita Falls, Electra, Holliday, Vernon, Archer City, Windthorst and Decatur.

Under the terms of the agreement, Pilgrim Bancorporation will acquire all of the common stock of North Central Texas Bancshares, Inc. The transaction has been approved by the boards of directors of Pilgrim Bancorporation and North Central Texas Bancshares, Inc. The acquisition is subject to customary conditions, including the approval of the shareholders of North Central Texas Bancshares, Inc. as well as bank regulatory authorities.

Ken Pilgrim, Chairman of the Board of Pilgrim Bank and Pilgrim Bancorporation commented, “We are delighted to have the opportunity to associate with North Central Texas Bancshares, Inc. and expand our operations. This acquisition will expand our presence along the Highway 287 west corridor. We expect that their expertise and knowledge of their respective markets will enhance our franchise. We welcome current State National Bank of Texas customers into our banking family.”

Williamson added, “We are pleased to join with Pilgrim Bank. Our customers can look forward to an expanded presence in East Texas and the Panhandle and the additional products and services that Pilgrim Bank offers.”

State National Bank of Texas, founded in 1932, has community bank locations stretching across North Texas from Vernon to Decatur. As of June 30, 2014, State National Bank of Texas had total assets of $240 million.

One hundred three year old Pilgrim Bank was founded in 1911 and has 6 banking offices, including an office in their charter town of Pittsburg, Texas and their corporate office in Mount Pleasant.

Along with a northeast Texas location in Sulphur Springs, the company has two panhandle locations- Wellington and Clarendon. As of June 30, 2014 Pilgrim Bank had total assets of $386 million. Upon completion of the proposed transaction, it is anticipated that the combined bank will have approximately $629 million in total assets and 16 locations.

Bo Pilgrim said, “We are pleased that both Pilgrim Bank and State National Bank of Texas share a common goal of serving our customers, our stockholders, our employees and our community as we continue to build an exceptional community bank that offers great customer service.”

The transaction is expected to close in the first quarter of 2015, with the banks to combine operations in mid 2015.