Acquisition of OmniAmerican Bancorp, Inc. by Southside Bancshares, Inc. May Not Be in Shareholders' Best Interests

SAN DIEGO and FORT WORTH, Texas, April 30, 2014 /PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP are investigating the proposed acquisition of OmniAmerican Bancorp, Inc. (NASDAQ: OABC) by Southside Bancshares, Inc. (NASDAQ: SBSI).  On April 29, 2014, OmniAmerican and Southside announced the signing of a definitive merger agreement pursuant to which OmniAmerican shareholders will receive a combination of $13.125 in cash and .4459 shares of Southside common stock for each share of OmniAmerican common stock owned, representing a total per share value of $26.71.

Is the Proposed Acquisition Best for OmniAmerican and Its Shareholders?

Robbins Arroyo LLP's investigation focuses on whether the board of directors at OmniAmerican is undertaking a fair process to obtain maximum value and adequately compensate OmniAmerican shareholders. As an initial matter, the $26.71 merger consideration represents a premium of just 16.5% based on OmniAmerican's closing price of $22.93 on April 28, 2014, the last day of trading prior to the merger announcement.  This premium is significantly below the average one day premium of 29.55% for comparable transactions in the last three years.

In addition, on February 28, 2014, OmniAmerican released its financial results for the fourth quarter and fiscal year 2013, reporting strong increases in net income and loans. Specifically, OmniAmerican's net income increased from $1.2 million in the fourth quarter of 2012 to $1.6 million in the fourth quarter of 2013. Similarly, fiscal year 2013 net income increased 12.8% from $5.7 million in 2012 to $6.4 million in 2013. Total loans also increased 12.2% from $735.3 million at December 31, 2012, to $824.9 million at December 31, 2013.

Given these facts, Robbins Arroyo LLP is examining the OmniAmerican board of directors' decision to sell the company to Southside.  OmniAmerican shareholders have the option to file a class action lawsuit to ensure the board of directors obtains the best possible price for shareholders and the disclosure of material information.  OmniAmerican shareholders interested in information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, [email protected], or via the shareholder information form on the firm's website.

Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law.  The law firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.   

Attorney Advertising. Past results do not guarantee a similar outcome.  

Contact:
Darnell R. Donahue
Robbins Arroyo LLP
[email protected] 
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com

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SOURCE Robbins Arroyo LLP

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