Frost to Acquire Neiman Hanks Puryear

Frost Insurance Agency, a subsidiary of San Antonio-based Frost National Bank, may soon acquire one of the largest independent insurance agencies in Austin.

Nieman Hanks Puryear Partners and Nieman Hanks Puryear Benefits, will become the third agency acquired by Frost, joining Professional Insurance Agents Inc. and Houston-based Wayland Hancock Insurance Agency.

Lee Loftis, chief operating officer of Nieman Hanks Puryear said the company agreed to the sale because it was a “great opportunity to join a great operation.”

“Banks in the financial services area are going to be the way we continue doing business,” Loftis said. He expects the 94-year-old agency will experience significant growth, though Loftis said no projections have yet been made.

“We are proud that one of the finest insurance agencies in Texas, and certainly the premier agency in Austin, will be joining our organization,” said John Brimberry, chairman of Professional Insurance Agent Inc. and member of the Frost Insurance Agency executive committee. “This kind of merger can only come about when the two organizations share a common philosophy and way of doing business.”

Nieman Hanks Puryear will maintain its current operations, with no staff or executive changes, Loftis said. He expects the deal, which is still pending regulatory approval, to close by July 1. Terms will be disclosed at a later time.

Loftis was unsure if a move would be in the cards for Nieman Hanks Puryear, which has worked on the 13th floor of the Bank of America building in downtown Austin for the last five years. He did not know if Frost would want to move the company out of a rival bank’s building or not.

“If they tell us to move, then we’ll move,” he said.

Nieman Hanks Puryear Partners, an agency tracing its origins to 1906, is predominantly a commercial lines agency offering property and casualty insurance, professional and umbrella liability as well as personal lines, such as homeowners and auto insurance.

Nieman Hanks Benefits, created in 1998, specializes in employee benefits programs, such as group health, life and disability policies, 401(k) retirement plans and executive planning. The agency has a staff of 64; 49 with NHP Partners and 15 with NHP benefits.

Cullen/Frost Bankers Inc. is a multi-bank holding company headquartered in San Antonio, with assets of $7 billion as of Dec. 31, 1999. The corporation has more than 75 financial centers across Texas.

Topics Mergers & Acquisitions