CresCom Bank To Expand In South Carolina And Southeastern North Carolina With 13 Branch Purchase
August 8, 2014
CHARLESTON, SC – CresCom Bank, the wholly-owned bank subsidiary of Carolina Financial Corporation (NASDAQ: CARO), announced it has entered into a definitive agreement with First Community Bank, Bluefield, Virginia to acquire 13 branches with total deposits of approximately $230 million and approximately $59 million in loans. Three of the offices are in South Carolina and operate under the name “People’s Community Bank” and 10 are in southeastern North Carolina. The deposit premium will be approximately 3.11% of deposits acquired. Upon completion of the purchase, CresCom Bank will have 27 branch locations, including two new offices planned to open later this summer in Cane Bay and Socastee, S.C.
Upon completion of the transaction, CresCom Bank is expected to have approximately $1.2 billion in assets, $0.7 billion in loans, and$1.0 billion in deposits. The transaction is expected to be immediately accretive to Carolina Financial Corporation’s fully diluted earnings per share, excluding one-time deal costs.
The transaction, which is subject to regulatory approval and other customary conditions, is expected to close in late 2014 or early 2015. The terms of the agreement have been approved by the Board of Directors of both companies.
“Our acquisition of these 13 branches dramatically increases our footprint throughout the coastal region of the Carolinas,” said Carolina Financial Corporation President and CEO Jerry Rexroad. “This is a reflection of the accretive growth our board of directors and leadership team have been striving toward. These branches are in key markets and Coastal regions very similar to our current markets, which will help us continue to deliver quality products and services to customers.”
About Carolina Financial Corporation
Carolina Financial Corporation (NASDAQ: CARO) is the holding company of CresCom Bank, which also owns and operates Atlanta-based Crescent Mortgage Company. As of June 30, 2014, Carolina Financial Corporation had $988 million in total assets, CresCom Bank operated 12 branch locations in the Charleston and Myrtle Beach areas of South Carolina, and Crescent Mortgage Company originated loans in 48 states and partnered with approximately 2,000 community banks, credit unions and mortgage brokers, offering access to various loan programs. CresCom Bank offers a strong core of banking products and services. To learn more about CresCom Bank, visit www.facebook.com/CresComBank and www.twitter.com/CresComBank or call 1-855-CRESCOM.
