KINGSPORT, Tenn.--(BUSINESS WIRE)--Officials with TriSummit Bancorp, Inc., the parent company of TriSummit Bank, today announced the successful completion of TriSummit Bancorp, Inc.’s acquisition of Community National Bank of the Lakeway Area (OTCBB: CNLA) (“CNLA”) and the merger of CNLA with and into TriSummit Bank, thereby expanding TriSummit Bank’s northeast Tennessee presence to Hamblen and Jefferson Counties.
TriSummit Bank previously announced its plans to acquire CNLA on January 14, 2014. As of March 31, 2014, CNLA had total assets of approximately $118 million, total loans of approximately $61 million and deposits of approximately $99 million. The former branches of CNLA will be operated as branches of TriSummit Bank effective with the July 1, 2014, effective date of the transaction.
In connection with the transaction, CNLA shareholders will receive $5.35 per share, in cash, for their shares of CNLA stock. Based on the number of shares of CNLA stock outstanding as of June 30, 2014, the aggregate consideration to be received by shareholders of CNLA is approximately $10.1 million.
As a result of the transaction, TriSummit Bank has acquired two branches in Morristown, Tennessee and one in Jefferson City, Tennessee, and will have approximately $231 million in loans and approximately $285 million in deposits in the TriCities and the Lakeway Area.
Commenting on the acquisition, TriSummit Bancorp, Inc. President and CEO R. Lynn Shipley, Jr. noted: “Our leadership team, employees and shareholders are pleased to be expanding our banking franchise to two additional East Tennessee communities. We very much appreciate the opportunity to bring our full range of financial services to both current and future customers in Hamblen and Jefferson Counties through this merger. Our TriCities based team is also looking forward to working with the great team of associates in Morristown and Jefferson City who share our same values, philosophies and commitment to outstanding customer service.”
Banks Street Partners, LLC served as financial advisor and Butler Snow LLP served as legal counsel to TriSummit Bancorp Inc. and TriSummit Bank in connection with the transaction. Monroe Financial Partners, Inc. served as financial advisor and Bryan Cave LLP served as legal counsel to CNLA.
About TriSummit Bancorp, Inc. and TriSummit Bank
TriSummit Bancorp, Inc. is the parent company of TriSummit Bank, a Tennessee-chartered community bank dedicated to serving East Tennessee and Southwest Virginia with strong, client and community focused leadership, state-of-the-art financial centers and a full complement of technology based services. At March 31, 2014, TriSummit Bank had total assets of approximately $248 million. The TriSummit Bank leadership team includes President and Chief Executive Officer R. Lynn Shipley, Jr.; Executive Vice President, Chief Financial Officer and Chief Operating Officer George Schneider; Executive Vice President and Chief Credit Officer Benny Bell; Johnson City President and Chief Lending Officer Vince Hickam; Executive Vice President and Kingsport Area Manager Ted Fields; Bristol and Lakeway Area President Jerome Julian; Senior Vice President and Senior Operations Officer Debra Williams; Vice President and Human Resource Director Pam Bowman; Assistant Vice President and Marketing Officer Ryiah Staton; and Compliance Officer Phil Wampler. The principal office of TriSummit Bank is located at 422 Broad Street, Kingsport, Tennessee 37660. Additional information is available by contacting R. Lynn Shipley, Jr. at 423-857-2502 or by visiting the TriSummit Bank’s website at www.trisummitbank.com.