Frost Bank stays the course amid Texas M&A spurt

Core Insights - The increase in bank merger-and-acquisition activity in Texas does not alter Frost Bank's organic growth strategy, which is progressing rapidly to meet the needs of the state's customers [1][2] Group 1: Frost Bank's Strategy - Frost Bank is focusing on organic customer growth and has launched an expansion program since 2018, adding branches in Dallas and Houston, with plans to open additional branches in Austin [3] - In 2022, Frost Bank opened 10 new branches in Texas and plans to open approximately 15 branches in 2023, hiring around 150 employees for staffing [3] Group 2: Competitive Landscape - Texas was a prime target for bank mergers and acquisitions in the previous year, highlighted by Fifth Third's $10.9 billion acquisition of Comerica [4] - Fifth Third plans to send out 1 million pieces of marketing mail shortly after the Comerica deal closure, with a total of 13 to 14 million pieces expected throughout the year [5] - Huntington has completed its $7.4 billion acquisition of Cadence Bank and previously acquired Veritex for $1.9 billion, while Prosperity Bank has made its third in-state acquisition since July 2025 [6]