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Centennial Bank Acquires Florida Branches in FDIC-Assisted Deal

1 min read

Centennial Bank said Friday that it has acquired the Florida Panhandle deposits and assets of a Puerto Rican bank that was shut down by the Federal Deposit Insurance Corp.

Centennial struck a deal for the Florida operations with Banco Popular of Puerto Rico, the successful lead bidder for failed Doral Bank of San Juan.

Under the deal, depositors of Doral Florida will automatically become depositors of Centennial, and their deposits will continue to be insured by the FDIC up to the legal limit.

Centennial is the wholly owned bank subsidiary of publicly traded Home BancShares Inc. of Conway.

“We are excited to grow our Florida Panhandle franchise through this FDIC-assisted acquisition,” Tracy French, Centennial’s CEO, said in a news release. “Centennial welcomes the customers of Doral Florida to our banking organization. We want to encourage the customers of Doral Florida to continue to conduct business as normal and to be confident in knowing they will be banking with a strong, community banking oriented financial institution.”

Doral Florida operates five branches in Panama City, Panama City Beach and Pensacola and a loan production office in Tallahassee, Florida. Centennial already has 29 branches in the Panhandle, and some closings are expected after the Doral branches are converted to Centennial’s operating system on July 17.

The deal will provide Centennial loans of about $42.2 million before loan discounts; deposits of about $466 million, including $339.5 million of time deposits; $126.5 million of transaction and savings accounts; and a “significant” cash settlement to balance the transaction.

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