CoastalSouth in S.C. to buy Cornerstone Bancshares in Atlanta

CoastalSouth Bancshares in Hilton Head Island, S.C., has agreed to buy Cornerstone Bancshares in Atlanta.

The $1.2 billion-asset CoastalSouth said in a press release Friday that it expects to complete the purchase of the $214 million-asset Cornerstone in the third quarter. CoastalSouth did not disclose the price it will pay.

“This acquisition will significantly enhance our presence in metro Atlanta, one of our primary growth markets,” Steve Stone, CoastalSouth’s president and CEO, said in the release. “Financially, this is a very compelling transaction for both sets of shareholders.”

"Our clients, employees, and shareholders will benefit from being part of” CoastalSouth, Steven Deaton, Cornerstone’s president and CEO, said in the release. “This partnership accelerates the implementation of our business plans through the combination with a high-performing community bank that is as committed to community banking as we are."

It is the second bank deal in two days to involve an Atlanta-based seller.

Colony Bankcorp in Fitzgerald, Ga., agreed on Thursday to buy SouthCrest Financial in Atlanta for $84 million in cash and stock.

Piper Sandler and Troutman Pepper advised CoastalSouth. The Burke Group and Alston & Bird advised Cornerstone.