Southside Bancshares, Inc. Surveillance Report

Company Profile

Southside Bancshares, Inc. (NYSE: SBSI) (“Southside” or “the company”), headquartered in Tyler, TX, is an $8.3 billion-asset bank holding company for Southside Bank, operating a 53-branch network across East and Southeast TX, Dallas-Fort Worth (“DFW”), Austin, and in more recent years, the Greater Houston market. SBSI’s Texas-focused, high-touch, and commercially centric banking franchise is complemented by its local wealth and brokerage businesses. The company’s growth strategy has been largely organic, though supplemented by digestible strategic bank acquisitions (2017 and 2014), enhancing scale within its East TX and DFW MSAs. Partly given the company’s current size (notably, proximity to $10 billion of assets), the potential for Southside to pursue additional acquisitions over the near-to-intermediate term exists.
As noted, SBSI’s loan portfolio is commercially oriented, with investor CRE (including multi-family) comprising the largest portion of…

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