MetroCity Bankshares in Doraville, Ga., has agreed to buy First IC Corp. in Doraville.
The $2.9 billion-asset MetroCity said in a press release that it will pay $206 million in cash and stock for the $1.2 billion-asset First IC. The deal, which is expected to close in the fourth quarter, priced First IC at 146% of its tangible book value.
First IC has 10 branches, two loan-production offices, $975 million in deposits and $993 million in loans.
The acquisition should be 26% accretive to MetroCity’s 2026 earnings per share in the first full year of operations, including cost savings. It should take a little more than two years for MetroCity to earn back a projected 11% dilution to its tangible book value.
MetroCity expects to incur $14.9 million in merger-related expenses. It plans to cut 37% of First IC’s annual noninterest expenses.
“We too … long competed with and admired the First IC franchise and are excited about combining our two organizations,” Nack Paek, MetroCity’s chairman and CEO, said in the release.
“The combined bank will have the capacity to service our customers better, offer enhanced opportunities for our employees and continue offering excellent returns to our shareholders,” Paek added. “The combined balance sheet enhances our competitive position and increases the financial flexibility to continue to build the best bank possible.”
Hillworth Bank Partners and Hunton Andrews Kurth advised MetroCity. Stephens and Alston & Bird advised First IC.