Southern Bancorp Bank pens deal to acquire Legacy Bank & Trust

Arkadelphia, Arkansas-based Southern Bancorp Inc., the holding company for Southern Bancorp Bank, has entered into an agreement to acquire Ozarks Heritage Financial Group Inc. and its wholly owned subsidiary, Legacy Bank & Trust Co., headquartered in Springfield.

The deal, if approved by regulators and shareholders, would make a combined banking institution with $4.7 billion in assets. Brandon Taylor, Legacy Bank & Trust’s chief financial officer, said officials expect a closing by the first quarter 2026.

Taylor would not disclose the terms of the planned acquisition; however, a March call report on the Federal Deposit Insurance Co.'s website puts Legacy Bank & Trust's equity capital at $219 million. Southern Bancorp Bank has 56 locations across the south and holds $2.8 billion in assets. Legacy Bank & Trust, with $1.9 billion in assets, has nine locations in Missouri, Oklahoma and Texas.

“This is not just a financial transaction; it’s the continuation of a relationship that’s nearly a decade in the making,” Taylor said. “We’ve had nearly 10 years to observe, collaborate and build trust. That kind of relationship is rare, and it adds an enormous amount of confidence and alignment as we take this next step together.”

Taylor said Legacy and Southern executives first met at a community development financial institution forum in June 2016. Both banks are CDFIs, which are lenders with a mission to provide financing and support to underserved communities.

He added conversations on the acquisition began in earnest earlier this year.

“Always in the back of our minds [we] knew they would be a good partner,” he said. “Over time, we just realized we could do more together than we could do by ourselves.”

Taylor noted no branch closures are anticipated in the deal as there is no market crossover between the two institutions.

“We are excited to welcome the Legacy team, its customers and its communities to Southern Bancorp,” Darrin Williams, CEO of Southern Bancorp Inc., said in a news release. “For nearly four decades, our purpose and principles have centered around ensuring everyone in our communities has access to the capital, tools and services needed to build wealth and achieve financial opportunity. With the addition of the phenomenal team at Legacy, we look forward to expanding our collective resources – and impact – to even more people and places who can benefit from them.”

Founded in 1986, officials say Southern Bancorp is one of America’s oldest and largest CDFIs.

Taylor said Legacy Bank & Trust has grown its services as a CDFI lender since its founding, now ranked among the top 25 lenders in the nation for affordable housing lending based on a 2024 Affordable Housing Finance lenders survey.

"When we opened our doors in 2002 with a single branch in Plato, Missouri, and $18 million in assets, our mission was clear: to serve our community with integrity, heart and a steadfast commitment to making a difference," Chris Harlin, chair of Ozarks Heritage Financial Group, said in the release. "I believe we’ve fulfilled that mission – and more. Joining a nationally recognized, mission-driven institution like Southern Bancorp represents an exciting new chapter in our journey, one that will expand our reach and deepen our impact."

Taylor said the executive team at Legacy Bank & Trust will remain in place as regional leaders, adding, "There will likely be some of the Legacy team involved at the executive level of the combined entities.”

He noted the name of the bank will change at some point during the transition, likely as far out as 18 months from now.

JPMorgan Chase served as financial adviser and Nelson Mullins served as legal adviser to Southern Bancorp in connection with the transaction, according to the release. Stephens Inc. served as financial adviser and Stinson LLP served as legal counsel to Ozarks Heritage Financial Group Inc.