Alabama-based CBS Banc-Corp (CB&S Bank) and PrimeSouth BancShares have signed an agreement under which PrimeSouth’s banking subsidiary, PrimeSouth Bank, will merge with and into CB&S Bank.
Image: The acquisition will create the fourth largest bank in Alabama. Photo: Courtesy of Gerd Altmann/Pixabay.
CB&S Bank said that the merger will create the fourth largest financial institution in Alabama.
The deal, subject to customary closing conditions, including approval from PrimeSouth shareholders and bank regulators, is expected to be closed in the third quarter of this year.
Established in 1906, CB&S Bank presently serves its customers from across 50 offices, offering full-service banking products and other related financial services to retail and commercial customers.
Once the deal is closed, the new combined company will operate under the CB&S Bank brand. It operates from more than 50 locations in Alabama, Mississippi, and Tennessee, and has total assets worth more than $1.9bn.
PrimeSouth BancShares is headquartered in Tallassee, Alabama. Its subsidiary PrimeSouth Bank was established in 1958 and its name was later changed in 2004. It operates from five locations in Tallassee, Birmingham, Pike Road, and Wetumpka.
PrimeSouth president and CEO Dave Baggett said: “We are excited to combine with such a strong bank as CB&S Bank.
“We are pleased that our companies possess a similar culture and commitment to our customers and the communities we serve. This is a win-win for both companies’ shareholders, customers, and employees.”
Pursuant to the agreement, shareholders of PrimeSouth will receive 100% cash for share in the company.
CB&S Bank president and CEO Mike Ross said: “We cannot think of a better banking partner than Dave Baggett and his team at PrimeSouth. As a native of the River Region, I am thrilled to be able to do business where I was born and raised.
“This combination also allows CB&S Bank to further expand in the Birmingham market, one of the key growth markets in Alabama.
“We have wanted to expand in central Alabama for some time so it was the perfect fit to partner with a high-quality community bank like PrimeSouth.”
On the transaction, CBS Banc-Corp was advised by Bradley ArantBoult Cummings as legal counsel, while PrimeSouth BancShares was advised by Jones Walker as legal counsel and Porter White Capital as financial advisor.