CAMILLA, Ga.--Shareholders of Flint River National Bank have approved the proposed sale of the institution to the $260 million Five Star CU.
The Georgia Department of Banking and Finance has also approved a charter expansion for the Dothan, Ala.-based Five Star to include Georgia's Mitchell County.
Both moves put the deal for the bank, which was valued at $23 million at the time the deal was signed, much closer to closing, said Michael Bell, attorney and counselor with Royal-Oak, Mich.-based Howard & Howard. "NCUA stipulated that the field of membership expansion had to be approved by the Georgia state regulator before they would OK the deal."
The sale still awaits OKs from the OCC, FDIC, NCUA and Alabama CU Administration.
"I have confidence the regulators are moving and the deal will be closed quickly and efficiently, similar to recent deals that have been closed between banks and credit unions," said Bell. "I am confident the approvals will be coming soon."
Five deals involving credit unions and banks have been signed in the last two years: In addition to Five Star's move, the $1.2 billion Municipal Employees CU is purchasing $61 million Baltimore-based Advance Bank; Wisconsin's $2.1 billion Landmark CU acquired $190 million Hartford Savings Bank; Massachusetts' $429 million GFA FCU acquired New Hampshire's $83 million Monadnock Savings Bank; and the credit union that put everything in motion-Michigan's $1.6 billion United FCU — acquired $81 million Griffith Savings Bank in Indiana.
