Yadkin Financial has agreed to acquire NewBridge Bancorp in a $456m deal, bolstering its position as the largest community bank in North Carolina.
As per the terms of the deal, Yadkin will purchase 100% of the outstanding shares of NewBridge in exchange for shares of Yadkin’s common stock.
The combined entity would manage $7.1bn in total assets, $5.2bn in deposits and $5bn in loans.
Following the merger, Yadkin would be governed by a board of directors comprising 10 directors from Yadkin and 5 NewBridge directors.
Joseph Towell will remain in the role of the chairman of the board, while Scott Custer will serve as CEO. Terry Earley will hold the role of executive VP and chief financial officer of the combined company.
Upon completion of the deal, Yadkin Financial shareholders will hold about 61.3% of the combined company whereas existing shareholders of NewBridge Bancorp will own a stake of nearly 38.7% in the merged entity.
The holding company will retain the Yadkin Financial brand and will continue to be based in Raleigh, North Carolina.
The deal, scheduled to close in the second quarter of 2016, has already received the nod from the board of directors of both companies.
It is now subject to shareholder and regulatory approval as well as other customary closing conditions.
Yadkin Financial president and CEO Scott Custer said: "We are excited about our merger with NewBridge, which strengthens Yadkin’s leading position as the largest community bank in North Carolina. Our combined statewide presence coupled with our shared commitment to providing best in class service uniquely positions our franchise to grow as the premier community bank in the state.
"The merger will also increase our presence in South Carolina with the addition of offices in the Greenville-Spartanburg and Charleston markets."