A bank holding company that has Fort Worth ties and plans to grow a chain of community banks along State Highway 121 announced its first acquisition today.
Captex Bancshares Inc., led by two longtime Texas bankers, said it has signed a definitive acquisition agreement with Trenton Bankshares Inc., the parent holding company of The First National Bank of Trenton to acquire all outstanding shares of the capital stock of Trenton Bankshares and Trenton Bank.
Trenton Bank operates five banking offices in North Texas, including its main office in Trenton, a town in both Fannin and Grayson counties, along with banking centers in Melissa, Bonham, Farmersville and Leonard. As of June 30, 2016, Trenton, on a consolidated basis, reported total assets of $165.4 million, total loans of $97.8 million and total deposits of $135.1 million.
Captex is a bank holding company in formation, led by longtime Texas bankers George Lea, CEO, of College Station and Michael R. Thomas Jr., president, of Fort Worth. Upon closing of the transaction, anticipated in the first quarter of 2017, Captex will be headquartered in Trenton.
Trenton Bank will continue operations in all of its locations and Captex said in a press release it plans to add a banking center in Fort Worth within one year of closing the transaction.
The Captex Board of Directors will be composed of senior business leaders from around Texas. Key board members will include Tony Schell, a partner with Escalate Capital Partners; Mark A. Welsh IV, a managing director with EnCap Investments; and Jim Cone, manager at Cone Elevator of Lubbock and a former executive vice president of Horizon Bank in Austin. Welsh and Lea spent the years 2002-2006 together at Adam Corporation and First American Bank, prior to that bank’s sale in 2005.
Further, longtime North Texas bankers Lewis W. Donaghey, currently chairman of the Trenton Bankshares board of directors, and Lew Donaghey, current CEO of Trenton Bankshares and Trenton Bank, will both continue as Trenton Bank board members, and Lew Donaghey will continue on the Trenton Bank management team.
“There is tremendous opportunity for a well-capitalized and service-oriented community bank along the dynamic ‘Highway 121 Corridor’ from Bonham to Fort Worth,” said Captex president Thomas. “We are building a team of bankers and investors from all over Texas to focus on this important region as well as other opportunities that present themselves in compelling markets around Texas.”
Trenton Bankshares was advised in this transaction by Commerce Street Capital, LLC of Dallas as financial advisor, and Strasburger & Price, LLP as legal counsel. Fenimore, Kay, Harrison and Ford, LLP of Austin was legal counsel to Captex.
“It has been a pleasure getting to know the Donagheys and the folks at Trenton over the past several months,” said Captex CEO George Lea. “We have great respect for the hundred-year plus history of this bank’s service to North Texas communities. We will build on this foundation and create the next great Texas community bank.”