By Dennis Seid and Carlie Kollath/NEMS Daily Journal
TUPELO – Tupelo-based Renasant Corp. on Friday bought a Georgia bank, marking its second FDIC-assisted acquisition in less than a year.
Renasant bought American Trust Bank of Roswell, Ga., for $18.3 million on the same day that the Georgia Department of Banking and Finance closed American Trust Bank. The Federal Deposit Insurance Corp. was named the receiver.
With the deal, Renasant acquired about $145 million of American Trust’s assets and assumed about $230 million in liabilities. The FDIC, Renasant said, will make a cash payment for the difference between the assets acquired and liabilities assumed.
The acquisition is expected to provide a one-time gain in the first quarter of 2011, Renasant said.
“The chance to acquire American Trust was a tremendous opportunity to expand Renasant Bank’s presence in north Georgia,” said Renasant Chairman and CEO E. Robinson McGraw in a statement. “Our entrance into north Georgia in July 2010 following our acquisition of Crescent Bank amp& Trust … has been a great addition for Renasant as it provides access to new markets with attractive, long-term growth opportunities.”
The American Trust deal will add three locations, bringing Renasant Bank’s branch network to 14 full-service locations in north Georgia.
Renasant’s acquisition of Crescent Bank amp& Trust of Jasper, Ga., in July was the bank’s fourth and largest since 2004. The Crescent deal also expanded Renasant’s footprint into a fourth state.
Now, Renasant has more than 80 locations in Alabama, Georgia, Mississippi and Tennessee.
Until 2004, Renasant had been doing business strictly in Mississippi. But the then-People’s Bank and Trust Co. acquired Memphis-based Renasant.
In 2005, People’s acquired Heritage Bank amp& Trust in Birmingham. Since there was already a People’s Bank in Alabama, the Tupelo-based People’s adopted the Renasant name.
Two years later, Renasant acquired Capital Bank amp& Trust in Nashville.
Last month, Renasant reported full-year results, posting $31.66 million in net income. Total deposits grew to $3.47 billion while assets increased to $4.3 billion.
Contact Carlie Kollath at (662) 678-1598 or firstname.lastname@example.org. Contact Dennis Seid at (662) 678-1578 or email@example.com.