First Citizens Bank to acquire First South Bancorp for $37.5m

Bank acquisition news : First-Citizens Bank & Trust, the owner of First Citizens Bank, has agreed to acquire Spartanburg-based First South Bancorp, the holding company of First South Bank, for $37.5 million.

Established in 1996, First South Bank through four branch locations in Spartanburg, East Spartanburg, Greenville and Bluffton/Hilton Head offers banking services in South Carolina. It also has a loan production office in Columbia along with an operations office in Spartanburg.

As of 30 September 2018, First South Bancorp had $237 million in consolidated assets, $195 million in deposits along with gross loans of $173 million.

The North Carolina-based First Citizens Bank, which was established in 1898, has branches in more than 550 locations across 19 states, of which 138 branches are in South Carolina. Included in these are 19 branches across Spartanburg and Greenville counties, three in Beaufort County and 20 in Lexington and Richland counties.

A branch of First Citizens Bank in Beaufort, South Carolina. Photo courtesy of Aurora30/Wikipedia.org.

Frank B. Holding Jr. – chairman and CEO of First Citizens said: “We’re glad to announce this agreement with First South Bancorp, a company whose core values mirror our own.

“It’s an excellent opportunity to enhance our commitment to the people and businesses of South Carolina and to continue to expand in key markets – including the vibrant Upstate area. First Citizens Bank has an extensive and proud history in the state, and we look forward to serving our new customers pending completion of this merger.”

As per the merger agreement, First Citizens Bank will pay $1.15 per share to the shareholders of First South Bancorp for each share they hold.

Barry L. Slider – vice chairman, CEO and president of First South Bancorp said: “We are pleased to be joining a longstanding and well-respected company like First Citizens Bank. We both share similar philosophies and a strong commitment to our customers.

“The proposed merger will allow us to continue to give a highly personalized banking experience to our clients while providing them with an enhanced set of products and services in the months to come. We look forward to working closely with First Citizens Bank to complete this transaction.”

The deal is expected to be completed in the second quarter of this year should it get regulatory approvals and approval of First South Bancorp shareholders and satisfy other customary closing conditions.

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