BNC Bancorp Agrees To Buy Harbor Bank Group In $50.6 Mln Stock Deal

(RTTNews) - BNC Bancorp (BNCN), the holding company for Bank of North Carolina, announced it has entered into a definitive agreement to acquire all of the common stock of Harbor Bank Group Inc., the holding company for Harbor National Bank, in a stock transaction valued at about $50.6 million, based on the closing price of BNC common stock on June 4, 2014.

The agreement has been approved by the Boards of Directors of both companies.

As per the terms of the agreement, Harbor's shareholders will receive 0.950 shares of the Company's common stock for each share of Harbor common stock owned, resulting in the issuance of a total of approximately 2.977 million shares in the exchange.

The transaction, which is subject to regulatory approval, the approval of the shareholders of Harbor and other customary conditions, is expected to close in the fourth quarter of 2014.

Harbor, headquartered in Charleston, South Carolina, is the holding company for Harbor National Bank, which operates four branches in Charleston and Mount Pleasant. As of March 31, 2014, Harbor reported approximately $306 million in assets, $253 million in loans, $250 million in deposits and $33 million in tangible common equity.

Upon completion of the transaction, BNC is expected to have approximately $4.0 billion in assets, $3.0 billion in loans, and $3.4 billion in deposits. The transaction is expected to be immediately accretive to BNC Bancorp's fully diluted earnings per share, excluding deal costs.