Liberty Bank And Trust Company To Combine With Tri-State Bank Of Memphis
NEW ORLEANS, LOUISIANA and MEMPHIS, TENNESSEE — (June 3, 2021) — Liberty Bank and Trust Company and its parent holding company, Liberty Financial Services, Inc. (collectively, "Liberty") and Tri-State Bank of Memphis ("Tri-State") today jointly announced their agreement whereby Tri-State Bank of Memphis will be acquired by Liberty Bank and Trust Company in an all-cash transaction. Both Liberty and Tri-State are Minority Depository Institutions as defined by the Federal Deposit Insurance Corporation.
The acquisition represents a partnership between two minority-owned banks that will continue the legacy and mission of Tri-State Bank in the Memphis market. This mission - of providing affordable financial products and services to the underserved - is fundamentally a vital aspect of Liberty Bank's history and commitment to its extensive footprint. Liberty Bank operates in nine states and the acquisition will enhance the Bank's ability to serve the inherently strong Memphis community.
With the proposed transaction, Liberty will enter the Memphis, Tennessee market and will have approximately $965 million in assets and offices in 12 cities on a pro forma basis.
Alden McDonald, President and Chief Executive Officer of Liberty said, "Memphis is extremely rich in history, and we are proud to continue servicing the Community. Both Tri-State and our Board have a history of serving the underbanked, and this merger offers more financial access, products, banking technology, and enhanced capacity for lending. We are excited and focused on continuing to service the people of Memphis with an expanded suite of financial services — including a more robust mortgage product and a variety of personal and commercial banking options. This is a great time for Minority Deposit Institutions, and we are honored to join the Memphis Community!"
Archie Willis, Chairman of Tri-State said, "Combining with Liberty, an extremely well-run institution that shares our culture, will enhance our ability to serve our customers and uphold our mission. This transaction is compelling for all of Tri-State's stakeholders including customers, employees, shareholders and our community."
The transaction has been approved by the Boards of Directors of both companies but remains subject to Tri-State Bank of Memphis' shareholder approval and customary regulatory approvals. The transaction is expected to close before the end of 2021.
Pickering & Cotogno served as Liberty's legal advisor. Olsen Palmer served as financial advisor and issued a fairness opinion to Tri-State, and the firm of Baker, Donelson, Bearman, Caldwell & Berkowitz, PC served as Tri-State's legal advisor.
About Liberty Financial Services, Inc. and Liberty Bank and Trust Company
Liberty Bank and Trust Company, headquartered in New Orleans, Louisiana, was founded in 1972. Liberty has grown from an initial asset base of $2 million to approximately $860 million and is now the largest African American owned financial institution in the United States. The banking subsidiary of Liberty Financial Services, Inc., Liberty Bank and Trust Company, operates in 11 cities across nine states. During the reporting period ending March 31, 2021, Liberty Bank and Trust Company had approximately $860 million in total assets. For additional information, please visit www.libertybank.net.
About Tri-State Bank of Memphis
Tri-State Bank of Memphis was founded in 1946 by the late Dr. J. E. Walker, and his son, the late A. Maceo Walker. They dreamed of a bank which would constructively change community conditions. Subsequently led by the late Jesse H. Turner, the bank developed innovative financial and community service. The mission of Tri-State Bank of Memphis is to provide the communities served with financial solutions that transform them for the better. As of March 31, 2021, Tri-State Bank operated through a single office in Memphis, Tennessee and reported approximately $105 million in assets and $95 million in deposits. For additional information, please visit www.tristatebank.com.
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