The proposed merger of First Private with and into Louisiana-based IBKC has been approved by the board of directors of each company and is expected to close in the second quarter of 2014. Completion of the transaction is subject to customary closing conditions.

Under the terms of the agreement, shareholders of First Private will receive 0.27 shares of IBKC common stock for each share of First Private common stock outstanding, subject to certain market price adjustments provided for in the merger agreement.

Based on IBKC's closing stock price on February 10, 2014 of $63.62, IBKC said the transaction would have an aggregate estimated pro forma value of some $64 million, or $17.18 per First Private common share. Assuming full exercise of vested options and warrants, the aggregate transaction value equates to 1.64 times First Private's adjusted book value and tangible book value at December 31, 2013, on a pro forma basis, according to a statement.

“IBKC currently estimates annual pre-tax expense reductions associated with transaction will be approximately 7 per cent of First Private's annual expenses in 2013,” the firm said.

IBKC is a financial holding company with 267 offices. IBERIABANK has eight locations with representatives of IBERIA Wealth Advisors in four states, and one IBERIA Capital Partners office in New Orleans.