Commercial BancGroup, Inc., holding company of Commercial Bank based in Harrogate, Tenn., announces plans to purchase First National Bank and Trust, London with its four branch locations in London and Corbin. The deal is expected to close by the end of the first quarter 2020 pending regulatory approval and other customary closing conditions.
The proposed transaction will create one of the largest community banks headquartered in the region, based on financial data of September 30, 2019. On a pro forma basis as of September 30, 2019 the combined company will have assets of approximately $1.54 billion, deposits of $1.25 billion, gross loans of $1.17 billion and operate 31 branches throughout East Tennessee and Southeast Kentucky. This transaction greatly strengthens and compliments Commercial Bank’s existing deposit market share in Southeast Kentucky by adding approximately $177 million in deposits.
Terry Lee, CEO of Commercial Bank said about the acquisition, “We are excited to add First National Bank to our Commercial Bank family. We have been serving East Tennessee and Southeast Kentucky for more than forty years so we not only understand customer needs, but also have proven a commitment to serve the community and help improve the lives of the people, families, and businesses that make the area great. An added benefit is that we will bring that love of community to London and offer technologies, products, and services that will help those new customers thrive and grow. We stand behind our mission: to create positive experiences for every customer, every day. With that, the name of the bank will change, but you will still have friendly familiar faces waiting to serve you at your favorite branch”.
Commercial Bank, a family-owned community bank, is a private leading financial institution with the services, capabilities, and resources of regional and national banks without the bureaucracy. Lee says, “We make local decisions, by local people to benefit the communities we serve. With this addition, Commercial Bank will be able to serve more people throughout an expanded branch network with the experience, knowledge, and dedication for which the bank is known.”
“We are proud to partner with Commercial Bank and believe the merger is an excellent fit for our customers, employees and shareholders,” said Randell Brewer, Chairman of the Board of FNBT. “We believe this combination will better align our resources, enhance our financial strength, and expand our product offerings and technology solutions, all while allowing us to remain actively involved in our communities.”
If you would like to learn more about Commercial Bank, visit the website at www.cbtn.com or join one of the many conversations through their social media channels by joining LinkedIn, Twitter, or Facebook.