Heritage Financial Group, Inc. (the "Company") (NASDAQ: HBOS), the holding company for HeritageBank of the South (the "Bank"), today announced that the Bank has entered into a definitive whole-bank purchase and assumption agreement with the Federal Deposit Insurance Corporation (the "FDIC") to acquire Citizens Bank of Effingham ("Citizens"), a full-service bank based in Springfield, Georgia with total assets of approximately $214 million. The Georgia Department of Banking and Finance today closed Citizens and appointed the FDIC as receiver.
Citizens Bank of Effingham, with three branches in Effingham County – Springfield, Rincon and Guyton – is approximately 20 miles northwest of Savannah and 30 miles east of Statesboro. Citizens has a fourth location in Port Wentworth, Georgia, a suburb on the northern edge of Savannah in Chatham County. With this acquisition, HeritageBank of the South will now operate 20 branch locations in South Georgia and North Central Florida, and it moves into one of the fastest growing regions of Georgia that neighbors Savannah, building on a presence the Bank has developed in the Statesboro area, where it has two branch offices.
As a result of this acquisition, HeritageBank of the South will assume approximately $206 million in deposits and acquire $145 million in loans. In addition to assuming all of the deposits of Citizens, HeritageBank of the South will purchase essentially all of its assets. The FDIC and the Bank have entered into a loss-share agreement under which the FDIC will reimburse HeritageBank of the South for 80% of the losses on Citizens' covered loans and other real estate owned.
The four branches previously operated by Citizens will reopen on Saturday, according to their normal operating hours, as branches of HeritageBank of the South. Depositors of Citizens will automatically become depositors of HeritageBank of the South, and deposits will continue to be insured by the FDIC up to applicable limits.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV