BancorpSouth Bank Renews Strategic Business Alliance with Liberty Financial Services, Inc.

Rhea-AI Summary

BancorpSouth Bank (NYSE: BXS) and Liberty Financial Services, Inc. have renewed and expanded their strategic business alliance as of June 22, 2021. BancorpSouth continues to provide advisory services to Liberty, which includes guidance on IT management, product development, and loan origination strategies. The partnership enhances Liberty's capability to offer financial solutions, particularly in underserved communities. BancorpSouth has renewed its investment in Liberty with an additional $8.5 million in preferred stock, underscoring its commitment to social impact and community revitalization.

Positive

• BancorpSouth renewed its $8.5 million investment in Liberty, strengthening financial support.
• The strategic alliance allows Liberty to enhance its offerings in minority and underserved communities.
• BancorpSouth's commitment to social impact aligns with its focus on revitalizing communities.

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• None.

TUPELO, Miss., June 22, 2021 /PRNewswire/ -- BancorpSouth Bank (NYSE: BXS) ("BancorpSouth") and Liberty Financial Services, Inc., the holding company of Liberty Bank and Trust Company, headquartered in New Orleans, Louisiana, ("Liberty") jointly announced the continuation of and the expansion of a strategic business alliance. 

BancorpSouth will continue to provide certain advisory services to Liberty through this strategic mentor-bank relationship. Such services include, but are not limited to, advice on information technology management; strategies for the design, development and implementation of new banking products and services; recommendations for talent recruitment, associate training and development; and guidance on loan originations. 

This cooperative alliance provided growth capital to Liberty, strengthening its ability to make commercial loans and deliver other banking and financial solutions to businesses, individuals and families in minority and underserved communities. BancorpSouth Bank has renewed and extended its $8.5 million investment in Liberty in the form of non-cumulative perpetual preferred stock initially issued in 2016.

"We are excited about our expanding relationship with Liberty," said Dan Rollins, BancorpSouth Chairman and Chief Executive Officer. "Liberty is consistently one of the top-performing African American owned financial institutions in the country. This renewed commitment reflects our continued focus on supporting the revitalization of underserved communities in the markets we serve and neighboring markets. It's a privilege to continue our work with Alden McDonald and his team, knowing that collectively we can make a stronger impact."

McDonald, President and Chief Executive Officer of Liberty Financial Services, Inc., added, "BancorpSouth's investment strengthens our ability to continue to grow and serve our communities while meeting the specific financial needs of each individual customer. BancorpSouth shares a common vision with Liberty to revitalize minority and underserved communities. We are appreciative of their desire to support the strategic objectives of our bank."

Liberty Bank and Trust Company is the largest African American owned financial institution in the United States and is a Minority Depository Institution ("MDI"), a Community Development Entity ("CDE") and a Community Development Financial Institution ("CDFI") which focuses on low-to-moderate wealth communities and their respective residents. Liberty qualified for participation in the Community Development Capital Initiative based on its status as a CDFI.

Liberty's mission is to provide cost-effective delivery of high-quality, innovative, customer-driven financial products and services to diverse markets with a focus on disadvantaged minority communities who have traditionally been underserved by depository institutions.

About BancorpSouth Bank
BancorpSouth Bank (NYSE: BXS) is headquartered in Tupelo, Mississippi, with approximately $27 billion in assets.  BancorpSouth operates approximately 325 full-service branch locations as well as additional mortgage, insurance, and loan production offices in Alabama, Arkansas, Georgia, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas, including an insurance location in Illinois.  BancorpSouth is committed to a culture of respect, diversity, and inclusion in both its workplace and communities. To learn more, visit our Community Commitment page at www.bancorpsouth.com; "Like" us on Facebook; follow us on Twitter and Instagram:  @MyBXS; or connect with us through LinkedIn.

About Liberty Financial Services, Inc.
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.

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SOURCE BancorpSouth Bank

FAQ

What is the recent strategic alliance announcement involving BXS?

BancorpSouth Bank has renewed and expanded its strategic alliance with Liberty Financial Services, enhancing advisory services and investment.

How much has BancorpSouth invested in Liberty as of June 2021?

BancorpSouth renewed its investment in Liberty with an additional $8.5 million in non-cumulative perpetual preferred stock.

What community focus does the alliance between BancorpSouth and Liberty serve?

The alliance primarily aims to support financial solutions in minority and underserved communities.

What services will BancorpSouth provide to Liberty through this alliance?

BancorpSouth will provide advisory services including IT management, product development, and loan origination strategies.