In Mississippi, Bank of Commerce Acquires Tallahatchie Holding
Commerce Bancorp, of Greenwood, MS, is acquiring all of the issued and outstanding capital stock of Tallahatchie Holding Co. of Charleston. The share exchange deal was signed on November 29, 2017, and will see Tallahatchie County Bank's single branch and $58 million in assets merge to Bank of Commerce, with five pre-existing branches and $395 million in assets.
The share exchange deal was signed Nov. 29, 2017, and will see Tallahatchie Holding merging into Commerce Bancorp, according to a regulatory filing recently obtained by S&P Global Market Intelligence.
Deal terms were not disclosed, but SNL valuations for bank and thrift targets in the Southeast between Nov. 29, 2016, and Nov. 29, 2017, averaged 159.50% of book, 169.25% of tangible book and had a median of 23.77x last-12-months earnings, on an aggregate basis.
As of Nov. 30, 2017, Bank of Commerce has $395 million in assets and five branches, while Tallahatchie County Bank has $58 million in assets and one branch. Commerce Bancorp will enter Tallahatchie County, Miss., with one branch, where it will be ranked second with a 42.02% share of approximately $122.31 million in total market deposits. The combined entity will have over $450 million in assets and a presence in five counties in North Mississippi.
Two Tallahatchie County Bank executives will take on new roles at the combined entity. President and CEO William McKellar will serve as executive vice president and Vice President Rob Rowland will serve as senior vice president and market president.
The merger is slated for completion on or before March 1, subject to the receipt of regulatory and shareholder approvals and other customary closing conditions.
Butler Snow LLP, with Jefferson Stancill as lead attorney, served as Commerce Bancorp's legal counsel in the transaction.