The merger of these institutions is expected to create a North Carolina community banking organization with approximately $2.9bn in assets, $2.4bn in deposits and 63 full-service banking offices.
The combined parent company will be called FNB United Corp, and will be operated by new management, led by Brian Simpson as CEO and Bob Reid as president. It will be headquartered in Asheboro, North Carolina.
Upon merger of the two bank subsidiaries (CommunityOne and Bank of Granite) will be operated as separate entities until a future date, after which the merged bank will be named as CommunityOne Bank, according to the FNB United.
As part of this transaction, The Carlyle Group and Oak Hill Capital Partners, two private equity firms, have each entered into definitive agreements with FNB United to invest $77.5m in the common stock of FNB United.
FNB United chairman Jim Campbell said the prospective management team is led by native North Carolinians, Brian Simpson as CEO and Bob Reid as president, who will provide exceptional leadership for this new institution
The transaction, subject to approval, is expected to close during the third quarter of 2011.
