Seacoast Announces Acquisition of Heartland Bancshares, Inc.
Seacoast Banking Corporation of Florida (“Seacoast” or the “Company”) (NASDAQ: SBCF), the parent company of Seacoast National Bank (“Seacoast Bank”), has announced the signing of a definitive agreement to acquire Heartland Bancshares, Inc. (“Heartland”), which is the holding company for Heartland National Bank. Heartland is headquartered in Sebring, Florida, and operates four branches in the region. The acquisition represents a strategic move by Seacoast to expand its footprint into the Central Florida market, an area with significant growth potential. As of December 31, 2024, Heartland had total deposits of approximately $641 million and total loans of about $161 million.
Seacoast’s acquisition of Heartland aligns with its broader merger and acquisition (M&A) strategy, which aims to integrate stable, high-quality banking franchises in growing markets. This transaction is expected to reinforce Seacoast’s position as a leading financial institution in Florida, adding valuable market share and enhancing its service offerings. The acquisition reflects Seacoast’s ongoing commitment to expansion through carefully selected partnerships that complement its existing operations.
Strategic Rationale and Expected Benefits
Seacoast Chairman and CEO Charles M. Shaffer emphasized the significance of this acquisition, stating, “Heartland has built a remarkable reputation over the past 25 years for delivering outstanding service and maintaining strong financial performance. We are eager to continue their legacy of commitment to customers, employees, and shareholders. This acquisition offers a tremendous opportunity to blend Heartland’s strengths with Seacoast’s innovative financial solutions and extensive product offerings, further solidifying our position in the state.”
Shaffer also noted that the transaction is projected to be accretive to Seacoast’s earnings in 2026, with only modest dilution to tangible book value. “We anticipate welcoming Heartland’s employees and customers into the Seacoast family, fostering a seamless transition that benefits all stakeholders,” he added.
James C. Clinard, CEO of Heartland Bancshares, Inc. and Heartland National Bank, expressed his enthusiasm for the deal, stating, “Heartland was founded in 1999 with the mission of providing superior banking experiences for our customers. Partnering with Seacoast allows us to accelerate this mission, offering a best-in-class banking experience backed by a talented team of professionals. We are excited to join a company that shares our values and has a long-standing tradition of serving Florida’s consumers and businesses.”
Seacoast has a proven track record of executing successful M&A transactions, focusing on acquiring institutions with strong customer relationships, low-risk concentrations, and ease of operational integration. The acquisition of Heartland is expected to drive long-term value creation, enhancing Seacoast’s ability to serve Central Florida communities effectively.
Financial Terms and Structure of the Transaction
The financial structure of the deal has been carefully designed to provide flexibility to Heartland’s shareholders while maintaining balance sheet stability for Seacoast. Under the terms of the agreement, each share of Heartland common stock will be converted at closing into the right to receive one of the following:
- $147.10 in cash,
- 4.9164 shares of Seacoast common stock (subject to certain potential adjustments), or
- A 50-50 combination of cash and stock.
This consideration values each Heartland share at approximately $141.96. Heartland shareholders will have the option to choose their preferred form of payment, but the final mix will be maintained at 50% cash and 50% stock. The total aggregate value of the merger consideration is estimated to be around $110 million, based on Seacoast’s closing stock price of $27.83 as of February 26, 2025.
Timeline and Closing Conditions
The transaction is expected to close in the third quarter of 2025, pending receipt of regulatory approvals, shareholder approval from Heartland’s stakeholders, and satisfaction of customary closing conditions. Seacoast anticipates a smooth integration process, with minimal disruptions to Heartland’s existing customer base.
The successful completion of this transaction will mark another milestone in Seacoast’s growth journey. Over the past several years, Seacoast has strategically expanded its footprint through acquisitions, reinforcing its position as one of Florida’s most prominent banking institutions.
Broader Implications for Seacoast and the Florida Banking Market
Seacoast has positioned itself as a dynamic player in Florida’s banking sector, leveraging a combination of organic growth and strategic acquisitions. The acquisition of Heartland fits seamlessly into Seacoast’s expansion strategy by enhancing its market share in Central Florida, an area characterized by population growth and a strong economic base.
One of the key advantages of this acquisition is the increased deposit base. By integrating Heartland’s $641 million in deposits, Seacoast strengthens its liquidity position, allowing it to expand lending capabilities and support more businesses and individuals across the region. Furthermore, the addition of Heartland’s $161 million loan portfolio aligns with Seacoast’s objective of maintaining a well-diversified and high-quality loan book.
Additionally, Seacoast’s focus on digital transformation and customer-centric banking solutions will provide Heartland customers with enhanced banking experiences, including advanced digital banking tools, expanded lending options, and access to a wider range of financial products.
Advisory Roles and Legal Representation
Several financial and legal advisors played key roles in structuring and facilitating this transaction. Piper Sandler & Co. served as Seacoast’s financial advisor, while Alston & Bird LLP provided legal counsel. On Heartland’s side, Hovde Group, LLC acted as the financial advisor, and Smith Mackinnon, PA provided legal representation.
Seacoast’s Future Growth Strategy
Seacoast remains committed to strategic expansion, both through organic growth and targeted acquisitions. The bank’s leadership continues to explore opportunities that align with its mission of providing superior banking solutions while maintaining financial stability and shareholder value.
As Florida’s economy continues to grow, Seacoast is well-positioned to capitalize on emerging opportunities. The acquisition of Heartland underscores Seacoast’s confidence in the Central Florida market and its ability to integrate acquired franchises seamlessly.
By bringing Heartland into the Seacoast family, the company reinforces its dedication to fostering strong customer relationships, investing in technological advancements, and expanding its geographic reach. The deal further solidifies Seacoast’s position as a premier financial institution in Florida, committed to delivering value to customers, employees, and shareholders alike.
