BusinessThursday, November 5
M&F Bancorp shareholders approve the sale of Durham's M&F Bank to Optus
The 5AM Durham team
If you bank with M&F, the sale is one step from done. Shareholders overwhelmingly approved the merger into South Carolina-based Optus Financial Corp. Wednesday, and holders of fewer than 2% of shares voted against. The roughly $105 million deal still needs federal approval, and both banks expect it to close by the end of the year.
The M&F-Optus deal by the numbers
- $105 million
- is what the deal values M&F at
- $53.30
- per share in cash at closing
- $1.3 billion
- in assets at the combined bank
- 10
- branches across North Carolina and South Carolina
Sources: Business North Carolina, ABC11 News
The banks say the biggest change for customers is lending power. M&F's legal limit is $11 million, and the combined bank could lend up to $20 million to one borrower. CEO Jim Sills, who will lead it, called the deal "a sign of strength."
The combined bank could lend up to $20 million to one borrower
Source: ABC11 News
View as table
| Value | |
|---|---|
| M&F's limit today | $11 million |
| Combined bank's limit | $20 million |
Greensboro-based Triad Business Bank had made unsolicited proposals to keep the M&F name. Triad would have controlled 51% of the shares, and M&F's board rejected them.
- Name: M&F keeps it for two years after closing
- Jobs: layoffs expected on both sides; number not shared
- Black-owned U.S. banks: 22 today, 21 after the merger
- Headquarters: the Triangle will lose the headquarter office
Sources: Business North Carolina, ABC11 News