First Tennessee Bank is expanding its decade-long presence in North Carolina by buying Raleigh, N.C.-based Trust-Atlantic Financial Corp., in a deal valued at $80 million.
First Tennessee, the biggest bank in Tennessee, will pay stock and cash to acquire TrustAtlantic Financial and its subsidiary, TrustAtlantic Bank, subject to approval by regulators and TrustAtlantic's shareholders.
TrustAtlantic began in 2006 when Jim Beck, a former Capital Bank CEO, teamed with investor Steve Johnson to acquire and recapitalize Millennia Community Bank of Greenville, N.C., with $32 million of new equity. The bank relocated its headquarters to Raleigh and has grown to $467 million in assets, making it the 11th largest bank in Raleigh with five branches.
The offices will operate as First Tennessee branches after the acquisition is completed.
"The vibrant communities in North Carolina and the attractive relationships TrustAtlantic has developed make this an exciting partnership for First Tennessee and First Horizon," said Bryan Jordan, First Horizon's chairman and CEO.
"This acquisition provides an important expansion in the state's Research Triangle region, one of the most attractive markets in the Southeast," he said.
First Tennessee has offered commercial banking, commercial real estate, private client and wealth management products and services in Raleigh and other North Carolina markets for 10 years.