The agreement facilitates Lumbee Guaranty Bank to acquire all the real property, equipment, and other selected assets associated with New Century Bank’s Pembroke and Raeford branches, both located in North Carolina.
Lumbee Guaranty Bank had also agreed to assume all of the deposits associated with the two branches.
The agreement also enables New Century Bank to retain all loans associated with the two branches.
New Century Bancorp and New Century Bank president and CEO William Hedgepeth said that both of these offices became part of New Century Bank when we acquired Progressive State Bank in July 2006.
"While selling them was a difficult decision, it also was a strategic one for New Century. We firmly believe these customers will be well-served by their new financial partner, Lumbee Guaranty," Hedgepath added.
The transaction is expected to close during the first quarter of 2012.
