New Iberia-based Teche Holding Co. shares jumped close to 30 percent in value when Lafayette-based IberiaBank Corp. announced a plan to acquire the company, and the price remains above $70.
That’s good news for Teche Federal Bank President and Chief Executive Officer Patrick Little, whose shares would be worth about $18.5 million based on IberiaBank’s share price prior to the announcement.
Little directly or indirectly owns 256,209 shares of Teche, or 12.4 percent of the company’s stock, according to a Dec. 30 proxy statement filed with the U.S. Securities and Exchange Commission. Teche shareholders will receive 1.162 shares of IberiaBank stock under the deal announced Jan. 13, or $72.16 apiece based on IberiaBank’s closing price during the previous day of trading.
Teche Executive Vice President and Corporate Secretary W. Ross Little Jr., Patrick’s brother, owns 157,443 shares, or 7.6 percent of the stock. Those shares, which include 10,600 shares that may be acquired through stock options, would be worth about $11.4 million.
Both Littles, who are also Teche board members, must sign non-compete agreements as part of IberiaBank’s acquisition.
“The Littles are going to make out very, very well,” IberiaBank CEO Daryl Byrd said during a news conference following the acquisition’s announcement.
More than 43 percent of Teche’s shares are held by executive officers, directors and the Employee Stock Ownership Plan.
The ESOP owns 261,586 shares, or 12.6 percent of Teche’s stock. Those shares would be worth $18.9 million.
A Teche spokeswoman said Tuesday the company’s executives and board members could not comment.
However, when the deal was announced, Patrick Little released a statement saying the deal provided tremendous near- and long-term value to shareholders.
Three Teche executives who will remain with IberiaBank after the deal also saw their shares escalate in value.
Chief Financial Officer and board member J.L. Chauvin owns, directly or indirectly, 54,342 shares, or 2.6 percent, SEC records show, which would be worth $3.9 million. The total includes 16,370 shares that may be acquired through options.
Chief Operations Officer Jason P. Freyou owns, directly or indirectly, 6,520 shares, SEC records show, which would be worth about $470,500. Freyou also holds options on 8,140 shares, which would be worth about $587,000.
Chief Lending Officer Darryl P. Broussard owns, directly or indirectly, 9,908 shares, SEC records show, which would be worth about $715,000. Broussard also has options on 13,214 shares, which would be worth about $953,500.
Other board members and their shares include: William T. Allen, 2,575 shares, which would be worth about $186,000; William A. Anderson III, 9,957 shares worth about $718,500; Mary Coon Biggs, 32,650 shares, or 1.6 percent, worth about $2.4 million; Donelson T. Caffery Jr., 31,702, or 1.5 percent, worth about $2.3 million; Ernest Freyou, 5,800 shares worth aabout $418,500; Henry L. Friedman, 28,074 shares, or 1.4 percent, worth about $2 million; Thomas F. Kramer, 44,310 shares, or 2.1 percent, worth about $3.2 million; and Robert L. Wolfe Jr., 29,487 shares, or 1.4 percent, worth about $2.1 million. The totals, except for Anderson’s, include varying numbers of shares that may be acquired through options.
The stock value is based on $72.16 per share.