HomeTrust Bancshares (HTBI) in Asheville, N.C., has agreed to buy BankGreenville Financial (BGVF) in South Carolina.
HomeTrust will pay $7.8 million in cash for the $110 million-asset BankGreenville, the companies said Monday. At $6.60 a share, the consideration represents a 164% premium to BankGreenville's Friday closing price. The final price could reach $8.7 million, depending on the performance of a pool of the seller's loans over the next 24 months.
The purchase, which is expected to close in the third quarter, would mark the first expansion outside North Carolina for the $1.6 billion-asset HomeTrust, which has 20 branches. BankGreenville has one branch.
"We are excited to expand our franchise into the upstate South Carolina market and to partner with such a quality community bank," Dana Stonestreet, HomeTrust's president and chief operating officer, said in a press release. "With our strong capital base and historical success in partnership growth, we are well-positioned to forge additional community bank strategic partnerships across the Carolinas."
HomeTrust was advised by Stifel Financial's Keefe, Bruyette and Woods. BankGreenville was advised by Banks Street Partners.
HomeTrust raised more than $200 million last July through a public offering as it converted to a public company from a mutual thrift. In March, it said that Chairman and Chief Executive F. Edward Broadwell would step down in November after leading the company for 50 years. Stonestreet will succeed Broadwell as CEO.