Town-Country National Bank (“TCNB”) has entered into a definitive agreement to be acquired by United Bancorporation of Alabama, Inc. (OTCQX:UBAB), parent company of United Bank (“United”). As a result of the transaction, TCNB will rebrand as Town-Country United Bank (“TCUB”) and operate as a separate banking subsidiary under United’s holding company.
Olsen Palmer LLC served as exclusive financial advisor and issued a fairness opinion to Town-Country National Bank.
As part of the agreement, TCNB shareholders will receive aggregate cash consideration of $28.5 million, with a portion of the consideration paid as a special dividend prior to the close of the transaction. Based on TCNB’s December 31, 2020 financials, the transaction represents a Price / Tangible Book Value (adjusted for special dividend) of 1.52x and a Price / Earnings of 15.9x (tax-adjusted).
Expected to close in early third quarter 2021, the transaction remains subject to customary closing conditions including the approval of TCNB shareholders and the receipt of all necessary regulatory approvals.
Olsen Palmer LLC is the #1 bank M&A advisor nationwide according to S&P Global, based on the number of whole-bank sell-side M&A transactions advised upon over the last twelve months.
OLSEN PALMER ADVISES TOWN-COUNTRY NATIONAL BANK IN ITS AGREEMENT TO BE ACQUIRED BY UNITED BANK