Posted On: October 28, 2020 by First Bank of Alabama in:
First Bank of Alabama to Acquire SouthFirst Bank
Talladega, AL – October 28, 2020 – FirstBanc of Alabama, Inc. of Talladega, AL, parent company of First Bank of Alabama, and SouthFirst Bancshares, Inc. of Sylacauga, AL, parent company of SouthFirst Bank, announced today the signing of a definitive agreement whereby FirstBanc will acquire 100% of the stock of SouthFirst Bank. FirstBanc will pay all-cash consideration to SouthFirst Bancshares, Inc. as the sole shareholder of SouthFirst Bank; other financial terms were not disclosed. SouthFirst Bank will be merged with and into First Bank of Alabama as part of the transaction.
After adding SouthFirst Bank’s locations in Sylacauga, Talladega and Clanton, AL, First Bank of Alabama will operate 11 full-service locations across east central Alabama.
Chad Jones, President and CEO of First Bank of Alabama, commented, “We are excited to partner with the SouthFirst team. This combination will expand our presence in Talladega County, and in particular give us a physical location in the southern end of the county, while also allowing us to enter the Clanton and Chilton County market. We eagerly anticipate the addition of SouthFirst associates to our bank family. SouthFirst customers will be positively impacted with exceptional service and a diverse array of product offerings.”
Randy Fields, President and CEO of SouthFirst Bank, added, “We could not be more pleased to join the First Bank of Alabama family as their culture and commitment to local communities are very similar to our own. This combination is an attractive fit for our bank offering a comprehensive set of products and services to our customers and an expanded geographic diversification. The combined institution will enhance our ability to serve our communities while strengthening the benefits to our customers and employees.”
The transaction has been unanimously approved by the Board of Directors of both institutions but remains subject to customary conditions, including the approval of SouthFirst Bancshares, Inc.’s shareholders and the receipt of required regulatory approvals. The transaction is expected to close no later than the second quarter of 2021.
Olsen Palmer LLC served as First Bank of Alabama’s financial advisor while Jones Walker LLP served as legal advisor. SouthFirst Bank was served by National Capital, L.L.C. as financial advisor and by Reynolds, Reynolds & Little, LLC as legal advisor.
About First Bank of Alabama
First Bank of Alabama, based in Talladega, AL, is the banking subsidiary of FirstBanc of Alabama, Inc. and a full-service community bank with approximately $675 million in total assets. Formed in 1848, First Bank of Alabama is the oldest continuously operated bank in the state of Alabama and operates offices in Talladega, Lincoln, Munford, Oxford, Ashland, Wedowee, Roanoke and Woodland, AL. For more information, please visit www.firstbankal.com.
About SouthFirst Bank
SouthFirst Bank of Sylacauga, AL is a wholly-owned subsidiary of SouthFirst Bancshares, Inc. with approximately $90 million in total assets. SouthFirst Bank was chartered in 1949 and provides a full suite of services to customers through offices in Sylacauga, Talladega and Clanton, AL. For more information, please visit www.southfirst.com.