Acme Creditors Oppose 3-Branch Sale, Say Allied Assets Should Be Separate

by George Waldon  on Monday, Jun. 9, 2014 12:00 am  

A proposed $2 million sale of three of Allied Bank’s six branches to an unidentified buyer has drawn opposition from the largest secured creditors of its parent company, Acme Holding Co. of Little Rock.

Acme, which filed for voluntary Chapter 11 reorganization on April 29, asked the court to authorize selling branches in Mansfield (Sebastian County), Van Buren and Alma.

Chambers Bank of Danville and Hildene Asset Management LLC of Stamford, Connecticut, which together hold some $7.8 million in secured debt, have questioned the legality of such a sale from bankruptcy court.

Chambers and Hildene also have taken issue with the lack of details and supporting documentation about the proposed transaction.

Acme doesn’t name the proposed buyer of the three Allied Bank branches, citing a confidentiality clause in the undisclosed contract.

Some bank sources pointed to Today’s Bank of Huntsville as the potential buyer.

“We’ve had some talks with them, but we have nothing on record,” said Larry Olson, president and CEO of Today’s Bank. The $99.4 million-asset lender changed its name from First State Bank of Northwest Arkansas on March 31.

Allied’s Mansfield office dates back to the $6.8 million purchase of the Bank of Mansfield in September 2001. The Alma branch opened in May 2005, and the Van Buren branch was opened in March 2006.

The three locations are home to an estimated $53.6 million in deposits, representing 43 percent of Allied’s total deposits and half of the bank’s active branch network.

Allied also operates full-service locations at its main office in Mulberry (Crawford County) and branches in Ozark (August 2002) and Little Rock at 4900 Kavanaugh Blvd. (February 2011).

The bank owns a second Little Rock location at 1022 W. Capitol Ave. in downtown, which was closed in March after 15 years of operation.

Acme lists secured debts of $7.8 million and unsecured debts of nearly $3.6 million.

 

 

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