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Federal authorities decide to cease legal action against a Texas-based corporate entity

Cease-and-desist order lifted by central bank against Industry Bancshares, coinciding with the month of Cadence Bank's acquisition of Industry's closure.

Federal government forgoes punishment against Lone Star-based corporate entity
Federal government forgoes punishment against Lone Star-based corporate entity

In a significant move for the banking sector, Cadence Bank has completed the acquisition of Industry Bancshares on July 1, 2025. The deal, which provides stability and consistency to Industry's banking operations and customer experience, also increases liquidity to support lending in Industry's markets.

The acquisition comes after the Federal Reserve issued a cease-and-desist order to Industry Bancshares on November 13, 2024, due to unsafe or unsound banking practices. However, the specific practices cited in the order are not publicly detailed, as the exact reasons or deficiencies in banking practices that prompted this enforcement action are not disclosed in the available information.

Industry Bancshares, a holding company for six Texas community banks, was also ordered to submit written plans to strengthen board oversight, enhance risk management practices, and enhance liquidity and fund management programs. The Federal Reserve has now ended its enforcement action with Industry Bancshares, as confirmed last Thursday.

Cadence Bank, with $52 billion in assets and dual headquarters in Tupelo, Mississippi and Houston, paid $20 million in cash for Industry Bancshares. The deal gives the combined bank approximately 380 branches across the South and Texas.

The acquisition was reported by Gabrielle Saulsbery on Nov. 20, 2024, and later by Rajashree Chakravarty on April 29, 2025. It is worth noting that, since the initial report, no new regulatory actions or charges against Industry Bancshares or its subsidiaries have been mentioned.

This article was published under the Regulations & Policy section, offering insights into the evolving landscape of the banking industry. As always, it is crucial for readers to stay informed about such developments to make informed decisions about their financial choices.

Following the Federal Reserve's enforcement action against Industry Bancshares due to banking practices concerns, Cadence Bank's acquisition of Industry Bancshares on July 1, 2025, is aimed at improving the stability and consistency of Industry's banking operations, while increasing liquidity to support lending in their markets. Having paid $20 million in cash for Industry Bancshares, Cadence Bank now controls approximately 380 branches across the South and Texas, expanding its presence in the finance and business sector, including banking and insurance.

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