In Tennessee, Dunlap-based willenter Franklin County with its acquisition of Decherd-based
According to an April 1 press release, the target willmerge into a Sequatchie subsidiary, while unit ($77.8million) will be absorbed by Sequatchie's Citizens Tri-County Bank ($692.3 million).Sequatchie's entrance into Franklin County will be by two branches, and it willrank third with a 14.45% share of approximately $508.14 million in total marketdeposits.
The total purchase price of the deal is $9.7 million, with a per sharepurchase price of $8.30, according to a Feb. 18 letter to shareholders. SNL'svaluations for bank and thrift targets in the Southeast between April 1, 2015,and April 1, 2016, averaged 142.22% of book, 144.12% of tangible book and had amedian of 23.64x last-12-month earnings, on an aggregate basis.
The merger is expected to close in the third quarter,pending regulatory approvals. Franklin County UNITED's shareholders voted inits favor on March 31. The acquired bank's employees will be retained.
Bone McAllester Norton PLLC and Butler Snow LLP areserving as legal counsels of Citizens Tri-County Bank and Franklin CountyUNITED Bank, respectively. Citizens Tri-County Bank also received specialconsulting from SunTrust Robinson Humphrey.