Thank you for sharing!

Your article was successfully shared with the contacts you provided.

DALLAS-BMC Bancshares has added West Texas banking to its portfolio, acquiring 100% of outstanding stock of First National Bank of Graford. The buy is the Dallas company’s first, and it comes with branches in Mineral Wells, Graford and the Possum Kingdom Lake region in Texas, as well as a financially sound balance sheet.

“We spent more than a year on due diligence with this, and it’s a healthy bank with very strong ratios. It’s roughly about 35% loan to deposit,” says BMC Bancshares president Jonathan Morris.

Morris tells GlobeSt.com that another attractive part of the buy was loans made to customers who were personally known to the bank. “That gave us a lot of comfort,” he says. “A few years ago, for a lot of lenders, knowing the borrowers wasn’t a big component of decision-making. But time has proven that it’s important.”

Morris says plans call for a spruce-up of the bank’s branches and a possible rebranding, though First National Bank of Graford won’t carry the BMC Bancshares name. Also in the works is loan production office that will open in Dallas to expand lending capabilities into the D/FW area.

“One of our main focuses for the bank is to increase its lending, and do it in a safe and sound manner,” Morris says. “We’ll be super selective and take the highest-quality lenders. Morris goes on to say that BMC Bancshares isn’t targeting any more acquisitions at this time, but acknowledges it’s a good time to be buying banks, as long as the balance sheets are healthy.

“Major banks these days are focused internally on trying to deal with lending issues and over-expansion,” he comments. “The smaller, community oriented banks are the ones issuing the high-quality loans on great terms.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.