Equity Bancshares to acquire Frontier Holdings, sees accretion

Equity Bancshares (EQBK) announced it has entered into a definitive merger agreement with Frontier Holdings, the parent company of Frontier Bank in Omaha, Nebraska, adding seven locations to Equity’s franchise and marking Equity’s entrance into Nebraska. Under the terms of the merger agreement, which was unanimously approved by the boards of directors of both companies, Frontier will receive approximately 75% of their consideration in EQBK stock and the balance in cash. Subject to receipt of customary regulatory and member approvals and closing conditions, the merger is expected to close in the fourth quarter of 2025. Following completion, Frontier Bank will merge with and into Equity Bank. Established in 1937, Frontier Bank currently operates seven Nebraska locations, with two in Lincoln and one each in Falls City, Madison, Norfolk, Omaha, and Pender. As of June 30, Frontier Bank had $1.4B in total assets, including $1.3B in loans and $1.1B in deposits. Following its completion of its merger with NBC Oklahoma in July, Equity reported $6.4B in proforma consolidated assets. Adding seven Frontier locations, proforma will now comprise $7.9B in total assets. The transaction is expected to be approximately 7.7% or 34c accretive to Equity’s 2026 earnings per share, excluding the impact of one-time transaction expenses. Estimated tangible book value per share dilution to Equity is expected to be earned back in less than three years.