News Article
Womble Carlyle Team, Georgia Commerce Bank Complete Emergency Purchase Of Failed Banks
September 9, 2011
ATLANTA—When the Georgia Department of Banking and Finance closed two failed banks, Womble Carlyle client Georgia Commerce Bank and an Atlanta-based capital markets team led by Steve Dunlevie and Richard Hills responded quickly to ensure bank customers received uninterrupted service.
The Georgia Department of Banking closed Patriot Bank of Georgia in Cumming, Ga., and CreekSide Bank of Woodstock, Ga., on Friday, September 2nd. Dunlevie’s team worked with Georgia Commerce Bank officials on a purchase and assumption agreement with the state and the Federal Deposit Insurance Corporation (FDIC.)
Under the terms of the deal, Georgia Commerce Bank assumed all of the assets of the two failed banks and agreed to purchase essentially all of their assets. Patriot Bank of Georgia had approximately $150.8 million in total assets and $111.2 million in total deposits, while CreekSide Bank had total assets of $102.3 million and total deposits of $96.6 million.
The banks reopened Tuesday, September 6th (following the Labor Day holiday) as Georgia Commerce Bank branches, and customers had full services through the holiday weekend.
Earlier this year, Georgia Commerce Bank became the first bank in Georgia to fully repay TARP funds. Dunlevie and his team guided the bank through that process.
Steve Dunlevie chairs Womble Carlyle’s Financial Institutions Team. He has more than 35 years of experience in counseling financial institutions in bank regulatory matters, capital formation and corporate finance, mergers and acquisitions, problem asset resolutions, and matters relating to the duties of financial institution officers and directors.
Richard Hills represents and counsels institutional and individual clients on a broad range of bank, thrift and holding company regulatory, enforcement and compliance matters. Richard has extensive experience in representing financial institutions in merger and acquisition transactions. He practices in Womble Carlyle’s Atlanta office.
This document is intended as an informational reminder and does not constitute legal advice. If you have any questions or would like to discuss a particular situation, please contact Womble Carlyle Sandridge & Rice, LLP. The purpose of this article is to provide general information about significant legal developments and should not be construed as legal advice on any specific facts and circumstances.