BancFirst Corporation signed an agreement to purchase First Jones Bancorporation and its banking subsidiary, First State Bank, Jones of Oklahoma. Expecting the deal to close on the last day of 2009, BancFirst Corporation did not disclose the purchase price.
First Jones Bancorporation has $40 million in assets and loans of $11 million, and operates one branch in Jones, Oklahoma. The sale of First Jones Bancorporation was not a distressed sale, as the bank has a Tier 1 risk-based capital ratio of 25% and net interest income of $1.283 million in 2008.
The purchase appears to be an attempt to gain market share in the growing area of BancFirst’s area of operations. David E. Rainbolt, the CEO of BancFirst Corporation said, “Eastern Oklahoma County should continue to be a growth area. First State Bank, Jones has taken care of the Jones market well and BancFirst plans to continue that.”
With 88 branches in Oklahoma and $4.3 billion in assets, BancFirst Corporation is the largest state chartered bank in Oklahoma.