10:17 AM EDT, 07/14/2025 (MT Newswires) -- Veritex ( VBTX ) shares surged intraday Monday after Huntington Bancshares ( HBAN ) agreed to acquire the Dallas-based midsized community bank in an all-stock deal worth $1.9 billion.

Veritex's ( VBTX ) investors will receive 1.95 shares of the regional bank for each Veritex ( VBTX ) share, the companies said Monday in a statement. The consideration values Veritex ( VBTX ) shares at $33.91 each, based on Huntington's closing price on Friday. Veritex ( VBTX ) shares were up 21%, while Huntington fell 1.1%.

Huntington aims to accelerate growth in Texas by expanding its presence in Dallas/Fort Worth and Houston. Veritex ( VBTX ) reported about $13 billion in assets, $9 billion in loans, and $11 billion in deposits as of March 31, according to the statement.

"This partnership will serve as a springboard for substantial future growth in the state (of Texas)," Huntington Chief Executive Steve Steinour said.

The combination, which requires regulatory approvals, is anticipated to close early in the final quarter of this year. Veritex's ( VBTX ) 30 branches across Texas will operate under the Huntington Bank name following deal completion.

"We are very excited about becoming part of the Huntington family and bringing more capabilities to our Texas clients than ever before," said Veritex ( VBTX ) CEO Malcolm Holland, who will take on a non-executive position of Texas chairman at Huntington.

The transaction is expected to be "modestly" accretive to Huntington's earnings per share and neutral to regulatory capital at close, according to the statement.

Huntington, which will release its second-quarter results on Friday, said Monday that it expects to report earnings per share of $0.34, up more than 13% from a year earlier, the company said. Analysts polled by FactSet expect GAAP EPS of $0.33.

Huntington said net interest income is expected to have risen 12% to $1.5 billion in the second quarter.

Price: 17.38, Change: -0.02, Percent Change: -0.09