It’s official: First Community in S.C. to buy Signature Bank of Georgia

First Community in Lexington, S.C., has agreed to buy Signature Bank of Georgia in Sandy Springs in a deal that was inadvertently leaked last week.

The $2 billion-asset First Community said in a press release that it will pay $41.6 million for the $249 million-asset Signature. The deal, which is expected to close in the first quarter, priced Signature at 121% of its tangible book value.

“This partnership marks an exciting step forward as we expand into our next growth market, the dynamic and fast-growing Sandy Springs/Atlanta area,” Mike Crapps, First Community’s president and CEO, said in the release.

“During our initial conversations, there was immediate mutual recognition of cultural alignment,” Crapps added. “Signature’s deep local relationships, talented leadership team, and specialized lending capabilities, especially in SBA, will significantly enhance our presence and service offerings across all of our combined markets.”

The deal should be 4.4% accretive to First Community’s 2026 earnings per share. It should take a little more than two years for First Community to earn back an estimated 2.6% dilution to its tangible book value.

First Community plans to cut 30.9% of Signature’s annual noninterest expense with no branch closings. It expects to incur $7.6 million of merger-related expenses.

Signature Chairman and CEO Freddie Deutsch will become regional market president and director of specialty business lending at First Community Bank. Two Signature directors will join First Community’s board.

First Community was advised by Hovde Group and Nelson Mullins Riley & Scarborough.  Signature was advised by Olsen Palmer and Fenimore Kay Harrison.