North American Financial Holdings Inc. has struck yet another deal in the Southeast.
The Charlotte, N.C., company announced Thursday that it is buying a 90.1% stake in the $2.4 billion-asset Green Bankshares in Greeneville, Tenn.
The acquisition would be North American Financial's sixth since the holding company was formed last year to acquire failed or struggling banks. Green Bankshares, the parent of GreenBank, lost more than $240 million in the last two years due largely to elevated loan losses in its residential construction and development portfolio.
As it has done with past acquisitions North American Financial Holdings intends to merge GreenBank into its NAFH National Bank. Once the deal is completed, NAFH would have $7.3 billion of assets and 149 branches stretching from Sothern Florida to the Carolinas to Tennessee.
"This investment helps define NAFH as a broad Southeastern franchise," said NAFH Chairman and Chief Executive Officer Gene Taylor. "The fast-growing Nashville and Knoxville markets serve as a natural extension of our western footprint."
The deal is expected to close in the third quarter.
