Prosperity Bancshares agrees to acquire Stellar Bancorp in merger with cash and stock
On January 27, 2026, Prosperity Bancshares agreed to merge with Stellar Bancorp, with Stellar shareholders receiving 0.3803 Prosperity shares plus $11.36 in cash for each Stellar share. The Stellar board unanimously approved the deal, and directors holding about 8.8% of Stellar's shares have agreed to vote in favor, but the merger requires Stellar shareholder approval, regulatory approvals, and other customary conditions before closing.
Key points
- Each Stellar common share converts into 0.3803 Prosperity common shares plus $11.36 in cash, with cash paid in lieu of fractional shares.
- Stellar Bank will merge into Prosperity Bank, and two Stellar or Stellar Bank directors will join the Prosperity board and the Prosperity Bank board.
- Stellar will pay Prosperity a $78 million termination fee under certain circumstances.
- Closing requires Stellar shareholder approval and approval or waiver from the Federal Reserve, FDIC and Texas Department of Banking, among other conditions.
The filing
Written by AI on Nov 8, 2026, 1:17 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on January 29, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.