Bond Street Holdings in Weston, Fla., has found a backup M&A target after its deal for Atlantic Coast Financial fell through.
The $3.3 billion-asset Bond Street has agreed to buy Great Florida Bank (GFLB), in Miami Lakes, for approximately $42.5 million, it announced Wednesday. Bond Street plans to pay $3.24 per share for the $1.1 billion-asset bank, which had closed trading Tuesday at 32 cents a share.
Great Florida, which has 25 branches in South Florida, would merge into Florida Community Bank, a Bond Street subsidiary which has 46 branches on both coasts of the state and in Orlando.
"The transaction with Great Florida Bank is truly a game-changer for our company as we have been eager to expand our presence in Miami, Florida's largest metro market, Kent Ellert, president and chief executive of Florida Community Bank, said in the news release. We are a Florida-based, Florida-focused company and the merger with Great Florida Bank adds significant scale to our brand.
Shareholders of Atlantic Coast (ACFC) last month rejected the sale of the Jacksonville company to Bond Street. Outspoken investors had complained the sale price of $13.1 million, or $5 per share, was too low.
Bond Street and Great Florida expect their deal to close in the fourth quarter. Sullivan & Cromwell advised Bond Street; Hovde Group advised Great Florida.
On Tuesday, Florida Community agreed to partner with Raymond James Financial to offer asset management services.