The proposed acquisition of Tri-State Bank of Memphis enables Liberty to enter the Memphis, Tennessee market
Liberty Bank to buy Tri-State Bank of Memphis. (Credit: Tumisu from Pixabay.)
Liberty Bank and Trust Company, together with its parent company Liberty Financial Services, has agreed to acquire Tri-State Bank of Memphis in an all-cash transaction.
The proposed transaction enables Liberty to enter the Memphis, Tennessee market and will include assets worth nearly $965m and offices across 12 cities on a pro forma basis.
The Board of Directors of both companies have approved the transaction.
Subject to Tri-State Bank of Memphis’ shareholders’ and customary regulatory approvals, the deal is expected to close by the end of this year.
Tri-State chairman Archie Willis said: “Combining with Liberty, an extremely well-run institution that shares our culture, will enhance our ability to serve our customers and uphold our mission.
“This transaction is compelling for all of Tri-State’s stakeholders including customers, employees, shareholders and our community.”
Established in 1946, Tri-State Bank operated through a single office in Memphis, Tennessee, with around $105m in assets and $95m in deposits, as of 31 March 2021.
Tri-State Bank aims to provide affordable financial products and services to the underserved, which is also a key aspect of Liberty Bank’s commitment to its wide-ranging footprint.
The acquisition is expected to enhance the Liberty Bank’s capability to serve the fundamentally strong Memphis community, which operates in nine states.
Pickering & Cotogno served as legal advisor to Liberty on the acquisition, while Olsen Palmer served as financial advisor and issued a fairness opinion to Tri-State.
Also, the company of Baker, Donelson, Bearman, Caldwell & Berkowitz served as legal advisor to Tri-State.
Liberty president and CEO Alden McDonald said: “Memphis is extremely rich in history, and we are proud to continue servicing the Community.
“Both Tri-State and our Board have a history of serving the underbanked, and this merger offers more financial access, products, banking technology, and enhanced capacity for lending.
“We are excited and focused on continuing to service the people of Memphis with an expanded suite of financial services, including a more robust mortgage product and a variety of personal and commercial banking options.”