Hilltop Holdings To Buy SWS Group - Quick Facts

(RTTNews) - Hilltop Holdings Inc. (HTH) has reached a definitive merger agreement to acquire SWS Group, Inc. (SWS). Purusant to this, SWS shareholders would receive per share consideration of 0.2496 common shares of Hilltop and $1.94 of cash, equating to $7.88 per share based on Hilltop's closing price on March 31, 2014. The transaction is likely to close prior to the end of 2014.

Post transaction, Hilltop would remain well capitalized with excess cash to deploy on future transactions, the companies noted.

Commenting on the transaction, SWS' Chief Executive said it represents a 28% premium to the firm's pre-announced market price. The Special Committee, with the assistance of its independent financial and legal advisors, contacted numerous potential buyers and unanimously concluded that the transaction with Hilltop is in the best interests of SWS Group's stockholders.

The combined broker/dealer would offer a wide range of investment banking and related financial services to individual, corporate and institutional investors, broker/dealers, government entities and financial intermediaries. The combined bank would have a stable and low cost funding profile and a more efficient operating platform.