Greenwood, Miss.-based Commerce Bancorp Inc agreed to acquire all the issued and outstanding common shares of North Carrollton, Miss.-based Peoples Commerce Corp.
Under the agreement, Commerce Bancorp unit Bank of Commerce will acquire Peoples Commerce unit Peoples Bank & Trust Co., according to a document recently obtained by S&P Global Market Intelligence.
The deal is expected to close on or before May 1.
Upon closing, the combined company is expected to have more than $548 million in total assets and a footprint in six counties in North Mississippi. As of Dec. 31, 2018, Bank of Commerce has approximately $477 million in assets, while Peoples Bank & Trust has approximately $71 million.
SNL valuations for bank and thrift targets in the Southeast region between Jan. 11, 2018, and Jan. 11, 2019, averaged 159.87% of book and 171.09% of tangible book and had a median of 26.19x last-12-months earnings, on an aggregate basis.
Current directors of Commerce Bancorp and Bank of Commerce will continue to serve in the combined company's board.
Meanwhile, William Shackelford will serve as executive vice president and Carroll County, Miss., market president of the combined company. Shackelford is the president of Peoples Commerce and chairman of Peoples Bank & Trust.