NewBridge Bancorp (NBBC) in Greensboro, N.C., has received regulatory approval to buy struggling mutual Security Savings Bank in Southport, N.C.
The acquisition, expected to close Oct. 1, will include Security Savings' six branches, $220 million in assets and $173 million in deposits, NewBridge said in a press release Friday. NewBridge has $1.7 billion in assets and 30 branches in North Carolina.
The acquisition of the severely undercapitalized Security Savings was arranged in June by North Carolina Banking Commissioner Ray Grace. At June 30, Security Savings had a Tier 1 leverage ratio of 2.6% and total risk-based capital of 5.6%.
NewBridge will continue to operate the branches as Security Savings through November, according to the press release.
"We are pleased to welcome Security Savings' clients, banking professionals and communities," Pressley Ridgill, NewBridge's president and chief executive, said in the release. "We are looking forward to expanding our presence along North Carolina's southeastern coast and playing a role in the economic recovery of this important region. We appreciate the diligent efforts and overwhelming support of Security Savings' board and management. We are also thankful for the action of the North Carolina Commissioner of Banks, and the waivers and approvals of the Federal Deposit Insurance Corp., that enabled this unique transaction to occur."