Tag Archives: Acquisitions

The FDIC announced Friday the closure of First Commercial Bank in Bloomington, Minnesota. The bank was closed by the Minnesota Department of Commerce, which appointed the FDIC as receiver. The FDIC announced that it entered into a purchase and assumption agreement with Republic Bank & Trust Company in Louisville, Kentucky, to assume all of the deposits of First Commercial Bank. The sole branch of First Commercial Bank reopened Monday as a branch of Republic Bank & Trust Company. Republic Bank agreed to assume of all of the bank's deposits and assets.

Lexington Realty Trust, a national realty investment trust that owns, manages, and invests in single-tenant office, industrial, and retail properties, announced a multi-million-dollar acquisition Thursday with a transaction value of about $480 million. Lexington is acquiring Inland American Sub├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ós portion of Net Lease Strategic Assets Fund L.P., which was a joint venture between Inland and Lexington. Lexington has owned and managed these properties for the past several years, since prior to 2007 when it entered the venture with Inland to create Net Strategic Assets Fund.

In California, a financial institution is selling the majority of its mortgage business to facilitate a return of capital agreement in conjunction with a previous acquisition deal. Redding-based Bank of Commerce Holdings has announced that 51 percent of Bank of Commerce Mortgage has been sold back to Simonich Corporation, following a 2009 capital stock purchase transaction between the two entities.

State regulators shuttered a bank in Georgia this weekend, raising the bar to 39 for bank failures nationally this year. Jasper-based Jasper Banking Company fell dark with about $216.7 million in total assets and $213.1 million in total deposits. Stearns Bank National Association swooped in to sign a purchase-and-assumption agreement with the FDIC, as well as a loss-share transaction on $106 million of the assets. The acquirer assumed essentially all of the assets and deposits, along with three branches, which reopened under new management on Saturday.

A Georgia bank closed Friday, with state authorities appointing the FDIC as receiver. The banker, accused of embezzling millions from the shuttered institution, remains missing after a two-week absence. Montgomery Bank & Trust, located in Alley, Georgia, closed its doors Friday, reopening as part of Ameris Bank. Ameris entered a purchase agreement with the FDIC to assume all of Montgomery Bank├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ós deposits and about $12.4 million of its assets ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô mainly cash and cash equivalents, according to the FDIC.

Lending Processing Services, Inc., announced today that it has acquired LendingSpace, a provider of mortgage loan origination software solutions. The LendingSpace technology platform is expected to boost LPS├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ó origination technology solutions, including Empower and PCLender, programs used by mortgage lenders, credit unions, and community banks. The LendingSpace product suite features a lending platform that includes full web-enabled capabilities to enhance collaboration between retail originators and their lending partners.

Customers Bancorp, Inc. announced Thursday the acquisition of Acacia Federal Savings Bank from Ameritas Mutual Holding Company. Bancorp, the parent company of $2 billion asset Customers Bank, will acquire all of the stock of Acacia Federal from Ameritas for a consideration of $65 million. Bancorp will issue its voting and non-voting common stock for about $45 million at 115 percent of GAAP book value at time of closing. Approximately $20 million of Tier 1 qualifying non-cumulative Perpetual Preferred Stock will be issued by Bancorp to Ameritas at a rate of 3.72 fixed for the first five years.

Mortgage Cadence, LLC, announced Wednesday the acquisition of Prime Alliance Solutions, Inc. The Denver-based provider of services and technology for the financial services industry acquired Prime Alliance based on a shared passion to automate the mortgage process through rules and tasking, the company said in a release. Mortgage Cadence employs a financial services data model to provide Enterprise Lending Solutions. Prime Alliance Solutions is a credit union service organization concentrating on mortgage lending and is based in Edina, Minnesota.

Three bank failures took place Friday, raising the national tally this year to 31 as fewer community banks fall under, compared with recent years. State regulators shuttered Palakta, Florida-based Putnam State Bank, Marietta, Georgia-based Security Exchange Bank, and Lynchburg, Tennessee-based The Farmers Bank of Lynchburg. The cost to the FDIC: $100 million. With the bank failure tally at 31 this year, the numbers mark a gradual decline in the rate of closure for community banks compared with every year since the financial crisis.

Four banks were shut down Friday bringing the tally of fallen banks so far this year to 28. The banks were located in Illinois, North Carolina, Oklahoma, and South Carolina. The Illinois Department of Financial and Professional Regulation closed Shabbona, Illinois-based Farmers and Traders State Bank. The failed bank held $43.1 million in assets and $42.3 million in deposits as of the end of the first quarter of the year. First State Bank, based in Mendota, Illinois, entered a purchase and assumption agreement with the FDIC.