HSBI - HSBI STOCK NEWS

The First Bancshares has received regulatory approval to merge with Heritage Southeast Bancorporation. The merger, originally announced on July 27, 2022, is pending a 15-day waiting period and shareholder approval. Upon completion, the combined company will have around $8 billion in assets, $7 billion in deposits, and over 100 branches across five Southeastern states. This strategic move aims to enhance market presence and operational efficiencies, looking to close in early January 2023.

Heritage Southeast Bancorporation (OTCQX: HSBI) reported a third quarter 2022 net income of $5.6 million, or $0.77 per diluted share, up from $3.3 million, or $0.46 per share in the previous quarter. The earnings were bolstered by a 51 basis point increase in net interest margin to 3.85% and a $31 million growth in total loans. The upcoming merger with The First Bancshares will convert HSBI shareholders into First Bancshares shares at 0.965 per share. Total assets increased to $1.73 billion with low non-performing assets at 0.17%.

The First Bancshares has announced its definitive merger agreement to acquire Heritage Southeast Bancorporation (HSBI) in a deal valued at approximately $207 million. This acquisition will enhance The First's presence in key markets, particularly in Georgia and Florida, allowing entry into Atlanta, Savannah, and Jacksonville. Upon completion, the combined entity is projected to have around $8 billion in assets and over 100 branches across five states. HSBI shareholders will receive 0.965 shares of The First's stock for each HSBI share, with the transaction expected to close in late 2022 or early 2023.

Heritage Southeast Bancorporation (OTCQX: HSBI) reported second quarter 2022 earnings of $3.3 million, or $0.46 per diluted share, down from $3.8 million, or $0.53 per share in Q1 2022. Key highlights include a net interest margin increase to 3.34%, driven by loan growth and rising interest rates. Total loans rose by 3.0% quarterly and 11.2% year-over-year. Employee separation costs impacted expenses, which increased to $13.2 million. The company terminated a purchase agreement with VyStar Credit Union and is exploring strategic alternatives to enhance shareholder value, with a tangible book value per share of $15.93.

The Board of Directors of Heritage Southeast Bancorporation (HSBI) has initiated a review of strategic alternatives to enhance shareholder value, engaging Piper Sandler and Co. as financial advisor. No timeline is set for this evaluation, and there is no guarantee of a resulting transaction. The bank, with around $1.7 billion in assets, provides various commercial and consumer products through 23 locations. Forward-looking statements highlight potential risks and uncertainties related to this strategic review, with HSBI disavowing any obligation to update the statements.

Heritage Southeast Bancorporation (HSBI) and VyStar Credit Union have mutually agreed to terminate their purchase and assumption agreement initially announced on March 31, 2021. The decision, made after both boards evaluated regulatory hurdles, concluded that timely approvals were unlikely. HSBI's CEO, Leonard A. Moreland, emphasized that this termination allows the organization to focus on post-COVID growth, improve capital position, and pursue strategic initiatives. Neither party will incur termination fees, and each will bear its own expenses related to the terminated transaction.

Heritage Southeast Bancorporation has announced key executive changes, effective July 1, 2022. Brian Smith, the current President and COO, will retire after over 40 years of service. Brad Serff will succeed him as President and Chief Banking Officer, overseeing all banking activities. Smith played a significant role in the bank's development, while Serff, who joined the company in 2006 and has been influential since the merger that created Heritage Southeast Bank, is expected to drive future growth. The bank has approximately $1.7 billion in assets and operates 23 branches.

Heritage Southeast Bancorporation (OTCQX: HSBI) reported first-quarter 2022 earnings of $3.8 million, or $0.53 per share, up from $3.1 million, or $0.43 per share in the prior quarter. The earnings reflect lower operating expenses but decreased net interest and non-interest income. Total loans increased by $34.3 million, or 3.3%, from the previous quarter, while the return on tangible equity excluding transaction costs declined to 14.76%. The acquisition of VyStar Credit Union was extended to June 30, 2022, pending regulatory approval. Total assets rose to $1.70 billion, with deposits reaching $1.47 billion.

Heritage Southeast Bancorporation (HSBI) has agreed with VyStar Credit Union to extend the anticipated transaction date to June 30, 2022, following regulatory approval considerations. Originally set for March 31, 2022, the extension allows either party to terminate the deal if regulatory hurdles are not cleared by April 30, 2022. Although VyStar has waived its exclusivity clause, HSBI cannot engage with other parties while negotiations with VyStar are ongoing. Both organizations are pursuing required approvals from various regulatory bodies.