Carter Bankshares in Martinsville, Va., has agreed to buy deposits in North Carolina from First Reliance Bancshares in Florence, S.C.
The $4.6 billion-asset Carter said in a press release that the deal includes deposits at branches in Mooresville and Winst0n-Salem. It will also buy the Winston-Salem branch.
Carter will pay a 4.6% deposit premium on the average closing balance of the sum of noninterest and interest-bearing transaction accounts, savings and money market demand deposits. No loans are changing hands.
The deal is expected to close in the first half of next year.
“This transaction strengthens our presence, deepens our commitment to North Carolina and further expands our network between Greensboro and Charlotte,” Litz Van Dyke, Carter’s CEO, said in the release.
“We see this as a crucial step in optimizing our operations in Winston-Salem as it gives us an immediate presence in the market, and we are gaining further market share in Mooresville,” he added. “We believe that the transaction will improve our profitability and deliver exceptional returns to our shareholders.”
Raymond James and Troutman Pepper Hamilton Sanders advised Carter. Hovde Group and Ward and Smith advised First Reliance.