SouthPoint Bancshares, Inc. Completes Strategic Merger with Merchants Financial Services, Inc.

Rhea-AI Summary

SouthPoint Bancshares has successfully merged with Merchants Financial Services, creating a combined entity with over $1.0 billion in total assets and $0.9 billion in deposits. The merger expands SouthPoint's banking franchise from Birmingham, Alabama, to include additional locations in Cullman, Hanceville, and Arab. SouthPoint Bank will continue to operate under its name while incorporating Merchants Bank of Alabama as a division. This strategic merger aims to enhance market presence and service offerings.

Positive

• Combined total assets exceed $1.0 billion.
• Increased deposit base to $0.9 billion.
• Expansion into new geographic markets including Cullman, Hanceville, and Arab.

Negative

• None.

BIRMINGHAM, Ala.--(BUSINESS WIRE)-- SouthPoint Bancshares, Inc. (“SouthPoint”), the parent company of SouthPoint Bank, has completed its merger with Merchants Financial Services, Inc. (“Merchants”), parent of Merchants Bank of Alabama, with SouthPoint being the surviving entity.

Merchants Bank of Alabama has also merged with SouthPoint Bank and will continue to operate under its current name as a division of SouthPoint Bank.

Based on most recently available financial data, the combined organization will now have greater than $1.0 billion in total assets, $0.9 billion in deposits, and 10 branches. The partnership extends the SouthPoint banking franchise from metro Birmingham up the I-65 corridor to include locations in Cullman, Hanceville, and Arab.

About SouthPoint Bancshares, Inc.

SouthPoint Bancshares, Inc. is the parent company of SouthPoint Bank. SouthPoint Bank was founded in 2005 in Birmingham, Alabama to create a local community bank dedicated to superior customer service for its customers. The bank has five legacy bank branches in Birmingham, Vestavia (Liberty Park), Gardendale, Trussville and Wilsonville in addition to Merchant’s branches in Northern Alabama.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220106005177/en/

For Media

Mackenzie Brown

AVP – Marketing

mbrown@southpoint.bank

205-637-2309



For Investor Relations

Jeanne Noto

Investor Relations

jnoto@southpoint.bank

205-503-5018

Source: SouthPoint Bancshares, Inc.

FAQ

What is the significance of the merger between SouthPoint Bancshares and Merchants Financial Services?

The merger creates a larger banking entity with over $1.0 billion in assets, improving market presence and customer service capabilities.

How will the merger impact SouthPoint Bank's operations?

SouthPoint Bank will continue operating under its name while incorporating Merchants Bank of Alabama as a division, enhancing its service offerings.

What are the new total assets and deposits for SouthPoint Bancshares after the merger?

Post-merger, SouthPoint Bancshares has over $1.0 billion in total assets and approximately $0.9 billion in deposits.

Which new locations are now part of SouthPoint Bank's franchise?

The merger extends SouthPoint Bank's franchise to include locations in Cullman, Hanceville, and Arab.