US-based community lender Investar Bank has inked a definitive agreement to acquire First Community Bank, which will double its presence in the Northshore and New Orleans-Area.
Further terms of the transaction have not been disclosed; however the deal is not expected to result in any job cuts following its completion in the second quarter of 2013.
The transaction also requires approval from the Federal Deposit Insurance Corporation (FDIC), the Board of Governors of the Federal Reserve System, the Louisiana Office of Financial Institutions and shareholders of First Community Holding Company.
First Community customers will continue using their cheques, make loan payments, conduct online banking and enjoy other services until deal completion.
After acquisition, Investar will have nine branches, which includes one in Hammond, two in Mandeville, one in Denham Springs, two in Baton Rouge, and one each in Port Allen, Prairieville and Metairie.
First Community bank CEO Cordell White will join Investar Bank as a regional president for Livingston and Tangipahoa parishes.
At 31 December 2012, Investar Bank had total assets of $375m, with a Tier 1 Capital Ratio of 11.55%, and offers various banking products and services for businesses and individuals.