Community First Bancshares is a federal corporation based in Covington, Georgia, US


Community First Bancshares completes merger with ABB Financial Group. (Credit: Linus Schütz/Pixabay.)

Community First Bancshares, Inc. (NASDAQ: CFBI) (“CFBI”), the parent company of Newton Federal Bank, announced today that it has successfully completed its merger with ABB Financial Group, Inc. (“ABB”), parent company of Affinity Bank, effective the close of business on January 10, 2020.

William D. Fortson, Jr., Chairman of CFBI, noted, “We are pleased to announce the completion of our merger with ABB Financial Group and Affinity Bank. The management teams and employees of Newton Federal Bank and Affinity Bank have worked tirelessly over the last several months to prepare for the integration of our companies. We believe that this transaction will help deliver value through increased operating scale and a presence in highly desirable banking markets. The combined strength of our institutions will allow us to better serve customers across all of our markets with a wide range of financial products and services, while maintaining the personal service they expect from their community bank.”

Under the terms of the merger agreement, ABB common shareholders will receive cash merger consideration of $7.50 for each share of ABB. Additionally, ABB’s preferred stock is being redeemed and ABB’s trust preferred securities are being acquired by CFBI and canceled.

The completion of the merger has resulted in a bank with approximately $645 million in total assets.

Edward J. Cooney, the former President and Chief Executive Officer of ABB and Affinity Bank, has become CEO of CFBI and Newton Federal Bank and a director of both entities. Johnny Smith of CFBI will remain President of CFBI and Newton Federal Bank and will continue to serve on the boards of both entities.

Banks Street Partners, a Performance Trust Company, acted as financial advisor to CFBI, and Luse Gorman, PC, served as its legal advisor. RP Financial, LC. provided a fairness opinion to ABB, and Miller & Martin, PLLC served as its legal advisor.

Source: Company Press Release