San Antonio National Bank has reached an agreement to acquire the two-office Bank of Texas, based in Devine, the companies announced Tuesday.

The acquisition will be an all-cash deal and is expected to close in the first quarter of 2009. Bank of Texas assets total $64 million. The combined banking companies will have assets of $290 million.

The Bank of Texas has two locations, its original location in Devine and in San Antonio at Loop 1604 and Bitters Road. Both will be renamed San Antonio National Bank.

San Antonio National Bank, owned by Family Bancorp Inc. holding company, has 10 locations. In addition to the Bank of Texas acquisition, San Antonio National Bank plans to add 13 new locations in San Antonio, the Rio Grande Valley, Laredo and Houston. San Antonio National Bank specializes in providing financial services to small and medium-sized banks and residents surrounding its locations.

San Antonio National Bank Chairman, Chief Executive and President Kenny Koncaba said Bank of Texas CEO and President D.H. Semlinger will become an officer in the merged banking company.

Noting that the majority of Bank of Texas' assets are in Devine, Koncaba said San Antonio National Bank will not neglect the Devine area.

“Our model is to make acquisitions (in rural areas) and enhance what they were doing in small Texas towns,” Koncaba said.

The Carson Medlin Company served as financial adviser for the Bank of Texas.