May 17 — A De Novo Bank was approved by Texas Banking Commissioner Charles G. Cooper. Subject to the granting of deposit insurance by the FDIC, The Bank of Austin is expected to open this summer with a minimum capital of $31 million. Organizers are J. Bruce Bugg Jr., who will serve as chairman, Jon Eckert, president and CEO, Robert Cavender, Gene Dawson Jr., David Spencer and Brent R. Given.
According to Cooper, this was the first de novo state bank charter since June 2009. Over the last eight years, bank charters in Texas have declined from 644 to 464, largely due to industry consolidation and the lack of de novo entries.
“The formation of this new state bank is a very positive sign that community leaders are again seeing the advantage of a locally owned and managed financial institution,” said Cooper.