Email page PDF view Print view Email Alert Social media sharing

Mergers & Acquisitions

Return to Mergers & Acquisitions

Deal Overview

Buyer:
Union Bankshares Corporation
Actual Acquirer:
Union Bankshares Corporation
Target:
Guaranty Financial Corporation
Deal Type:
Bank & Thrift Company
Agreement Date:
12/19/2003
Announcement Date:
12/19/2003
Announced Deal Value ($ M):
54.08
Status:
Completed
Completion Date:
5/1/2004
Announced Deal Value Per Share ($ )
26.62

Consideration Breakout
Cash ($M) 22.8
Common Stock ($M) 31.8
Common Stock Issued 1,023,000

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 267.8 260.7
Price / Tangible Book (%) 267.8 260.7
Price / Earnings (x) 28.0 37.3
Price / Deposits (%) 30.80 29.88
Price / Assets (%) 27.44 26.08
Tangible Book Premium/ Deposits (%) 20.57 19.98
Deal Terms
Description of Consideration

Union Bankshares paid $28.00 in cash or issued 0.842 of its common stock for each share of Guaranty, subject to 40% of shares being exchanged for cash.

Accounting Method Purchase
In-State Transaction? Yes
Merger of Equals? No
Geographic Expansion? Market Expansion
Goodwill Generated ($ 000) 30,100
Estimated Cost Savings (%) 28.00
Estimated Cost Savings ($ 000) 2,436
Est. Restructuring Charges ($ 000) NA
Maximum Termination Fee ($ 000) 2,200
Minimum Termination Fee ($ 000) 0
Exchange Ratio (Common For Common) 0.842000
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement No
Strike Price ($ ) NA
% of Shares Outstanding NA
Shares Under Option NA
Core Deposit Intangibles ($ 000) 5,800
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes Keefe Bruyette & Woods Inc.
Seller Yes Davenport & Co. LLC
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes LeClairRyan
Seller Yes Williams Mullen