Sale of Community State Bank of Bradley Adds Up to $3 Million Transaction

$3.15 million.

That's the estimated purchase price for Community State Bancshares Inc., holding company for Community State Bank of Bradley (Lafayette County).

You might recall that the buyer of the $22.16 million-asset lender is Allcorp. Inc., led by Lex Golden of Little Rock.

Golden is a principal in Allied Bank, originally known as Bank of Mulberry (Crawford County).

Golden's family controls 87 percent of Allcorp. The balance of shares are divided among four Jacksonville families: Frank Swift Jr., Ben Rice, William/Pam Hall and Terry Weatherford.

The transaction, backed by a $2.1 million loan from Heartland Community Bank of Bryant, includes paying off Community State's outstanding debt of $726,000.


Payday People

The remaining $2.4 million will be split among four stockholders.

The biggest is Jerry Hartline of Doddridge (Miller County), chairman and president of Community State Bank. His 61 percent is valued at $1.35 million.

Jeff Hobbs of Atlanta, Texas, owner of Hobbs Cattle Co., holds a 12.2 percent stake valued at $279,184. Myrna Dennis is listed at 2.4 percent, worth $53,943.

The fourth block of stock is owned by Alex Golden, president and CEO of Allied Bank.

During the past 12 months, he bought the 21.2 percent stake owned by Ray Mitchell of Barlett Texas, a bank consultant, and a 3.4 percent stake owned by Gary Lankford, former president and CEO of the bank.

Golden's shares were valued at $726,600, a 34 percent premium because, unlike Hartline and Hobbs, he didn't guarantee the $726,000 debt of Community State Bancshares.

Community State Bank recorded a profit of $127,000 through the first six months of this year. The bank, with a staff of seven, generated net income of $159,000 during 2009.