Business First Bancshares will acquire Monroe, Louisiana-based Progressive Bancorp in a roughly $83 million deal that would double the larger lender’s presence in the northern part of the state.

And with that – at least thus far in July – Baton Rouge has become a bustling hub of bank combinations.

The acquisition comes less than a week after Investar – based in Baton Rouge, as is Business First – announced it would buy First National Bank in Wichita Falls, Texas. That deal also is valued at around $83 million.

Purchasing $752 million-asset Progressive would extend Business First’s reputation as a frequent acquirer: It would be the company’s sixth acquisition since buying Pedestal Bank in 2020, including deals for small-business lending specialist Waterstone LSP, registered investment adviser Smith Shellnut Wilson and traditional banks Texas Citizens Bank and, most recently, Oakwood Bank.

The deal also marks a turn back toward Business First’s home state, after the Texas Citizens acquisition sought expansion in the Dallas market and the Oakwood transaction focused on Houston.

Progressive counts nine branches across Shreveport, Monroe, Bossier City and Winnsboro. That would push Business First’s northern Louisiana footprint to 18 locations. The deal would ramp up Business First’s market share in the region, too: Progressive holds 5% of deposits in the four counties it services. Business First, by comparison, counts 2.3%.

“This partnership combines companies with shared values, similar cultures and complementary strategies,” Business First CEO Jude Melville said in a statement Monday. “We’re adding talented bankers who are well-established in communities that are important to us. It deepens our Louisiana footprint, strengthens our deposit and liquidity profiles, and results in an economically strengthened shared franchise.”

The transaction, expected to close early in the first quarter of 2026, will push Business First’s asset total to $8.5 billion, the bank said.

As part of the deal, Business First expects to issue more than 3.05 million shares to Progressive shareholders. Those investors will own 9.3% of the combined company once the transaction is closed.

Progressive CEO George Cummings III will join the boards of both Business First and its subsidiary, b1BANK. Progressive President David Hampton will become vice chair of the north Louisiana market for b1BANK.

“We’ve built Progressive on trusted relationships and a commitment to serving our communities with care and consistency,” Cummings said. “This partnership allows us to continue that mission with greater resources, broader capabilities and a shared belief in relationship banking.”

Business First said it expects to save the equivalent of 45% of Progressive's operating expenses in the transaction. The deal also should be 10% accretive to earnings in 2026, the bank said in an investor presentation, adding that it expects to earn back its tangible book value in less than three years.

The Investar deal

Like several of Business First’s recent deals (Progressive notwithstanding), Investar’s acquisition of First National Bank continues a push into Texas.

Acquiring First National in Wichita Falls would bring seven branches and two mortgage offices, along with $1.5 billion in assets, under Investar. It’s Investar’s second acquisition in the Lone Star State and the first in the north Dallas market.

Investar CEO John D’Angelo called the transaction a “defining milestone” and “pivotal moment” for the bank.

“This is more than a strategic move; it's a powerful alignment of values and purpose,” D’Angelo said. “Our partner came from humble beginnings as did Investar. Although the banks began in different geographies and times, our shared vision is representative of the gap that larger institutions left in our markets.”

Investar hyped the community bank facet of deal, noting in a release last week that First National’s Wichita Falls staff “is expected to remain substantially intact.”

“The most attractive thing to me about this partnership is the combined company focus and commitment to excellent service where employees know their customers by name, and service is personal, not transactional,” D’Angelo said. 

Under the deal, expected to close in the fourth quarter, Wichita Falls shareholders will be entitled to receive 3,955,334 shares of Investar common stock and $7.2 million in cash for their shares. The $83.6 million value of the deal is based on Investar’s closing price of $19.32 from June 30.

First National CEO Stan Pinkham called the deal “a great opportunity to enhance strategic synergies through combined resources.”

“Aligning with Investar creates a combined bank with over $4 billion in assets, resulting in a larger lending capacity and enhanced services to our customers," Pinkham said.

Investar, as it stands, counts roughly $2.7 billion in assets and 29 branches in south Louisiana, southeast Texas and southwest Alabama.

Alongside the deal, Investar announced a private placement of $32.5 million in newly designated 6.5% Series A preferred stock.

In a note Monday, Hovde analyst Brendan Nosal noted an uptick in the pace of mergers and acquisitions in the banking space. However, 2025’s 71 deals so far may not match expectations of observers who thought President Donald Trump’s return to the White House would herald a glut of transactions.

“[It’s] still well shy of the tsunami many of us hoped for post-election, [but] we're pleased to see activity levels up," Nosal wrote.

By comparison, the banking sphere counted 63 combinations last year by this point.