East Texas Financial Services, Inc. (“ETFS”) (OTCBB:FFBT) announced that
the closing date for its merger with Prosperity Bancshares, Inc.
(“Prosperity”) has been delayed due to a lawsuit filed by a Company
stockholder challenging the results of the stockholder vote at the
special meeting of stockholders. ETFS and Prosperity announced the
merger on December 8, 2011 and stockholders approved the merger proposal
on April 18, 2012.
President and CEO, Derrell W. Chapman, CPA, stated, “We are disappointed
that this action has been taken and that the stockholders that voted in
favor of this transaction must now wait to see if the merger can be
completed. We are working as diligently as possible to resolve the issue
and we hope to do so as quickly as possible but as a result of the
lawsuit the closing date of the merger is uncertain at this time.”
ETFS, through its wholly owned subsidiary First Federal Bank Texas,
operates four banking centers in Tyler and Gilmer, Texas.
East Texas Financial Services, Inc. Derrell W. Chapman, 903-593-1767 President