Seacoast National Bank’s holding company Seacoast Banking has signed an agreement to acquire First Bank of the Palm Beaches to expand its presence in the Palm Beach County market.
Under the terms of the agreement, First Bank will be merged into Seacoast Bank, at a closing price of $5.91 per share, for a total of approximately $32.9m.
The shareholders of First Bank will receive 0.2000 shares of Seacoast common stock for each share of First Bank common stock.
Seacoast chairman and CEO Dennis S Hudson III said: “This acquisition brings Seacoast a highly complementary banking institution and strengthens our position in Palm Beach County.
“First Bank builds upon our two previous Palm Beach County acquisitions and subsequent organic growth in Florida’s largest and the nation’s seventh largest MSA. We look forward to welcoming First Bank’s employees and customers to the Seacoast franchise.”
First Bank will be merged into Seacoast Bank
The merger is expected to increase Seacoast’s deposits in Palm Beach County by 25% to around $821m.
The transaction is expected to be completed in the first quarter of 2020, subject to the receipt of approvals from regulatory authorities, approval of First Bank shareholders and satisfaction of other customary closing conditions.
For the merger, Sandler O’Neill & Partners served as financial advisor and Alston & Bird as legal counsel to Seacoast, while Keefe, Bruyette & Woods served as financial advisor and Gunster, Yoakley & Stewart as legal counsel to First Bank.
Established in 2006 in West Palm Beach, First Bank is a full-service bank that accepts deposits, makes loans and provides other services to the public. It has approximately $172m in deposits and $150m in loans.
First Bank chairman and CEO Joseph B Shearouse III said: “We set out in 2006 to establish a high quality banking alternative for the Palm Beach County community. We are delighted to partner with Seacoast, a like-minded and highly respected institution with a more than 90-year history of serving Florida.
“Seacoast is one of the largest Florida-based community banks in the state, and its bankers understand the Palm Beach market. We know our customers will enjoy its impressive array of products and services.”
