Colonial BancGroup sheds pair of banks (Dealscape

Global Consumer Acquisition Corp., a special purpose acquisition company, on Tuesday announced agreements to acquire 21 Nevada branches operated by Colonial BancGroup Inc. and to purchase 1st Commerce Bank, a Las Vegas-based single-branch bank operated by Capitol Bancorp Ltd.

Under the terms of the Colonial BancGroup deal, GCAC will pay $28 million to assume $440 million of loans and about $492 million in deposits. The $28 million price is a deposit premium based on 9.33% of the Nevada banks' $305 million in "non-time deposits," which are checkings and savings deposits. The price is subject to negotiation if that deposit balance changes before the deal closes. The SPAC agreed to pay 1.5 times the "tangible common equity" for 1st Commerce. The specific Capitol sale price was not disclosed; however, Daniel Cardenas, analyst with Howe Barnes Hoefer & Arnett Inc., estimated the sale at roughly $4.3 million.

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NOT A SUBSCRIBER? Colonial BancGroup sheds pair of banks Posted on July 14, 2009 9:32 PM Global Consumer Acquisition Corp., a special purpose acquisition company, on Tuesday announced agreements to acquire 21 Nevada branches operated by Colonial BancGroup Inc. and to purchase 1st Commerce Bank, a Las Vegas-based single-branch bank operated by Capitol Bancorp Ltd. Under the terms of the Colonial BancGroup deal, GCAC will pay $28 million to assume $440 million of loans and about $492 million in deposits. The $28 million price is a deposit premium based on 9.33% of the Nevada banks' $305 million in "non-time deposits," which are checkings and savings deposits. The price is subject to negotiation if that deposit balance changes before the deal closes. The SPAC agreed to pay 1.5 times the "tangible common equity" for 1st Commerce. The specific Capitol sale price was not disclosed; however, Daniel Cardenas, analyst with Howe Barnes Hoefer & Arnett Inc., estimated the sale at roughly $4.3 million. This is a free content preview. Subscribers enjoy access to all stories in full as well as second-to-none market intelligence. Dig deeper, with Pipeline. 923 in-depth reports of M&A deals in the Financial Services sector 28 articles related to Colonial BancGroup Inc. 21 articles related to Howe Barnes Hoefer & Arnett Inc. 18 company pages related to Las Vegas 10 years of news and analysis archives from the voice of The Deal Economy Most searched keywords Skadden Arps Idearc Inc. Deutsche Bank Amusement parks Deb Shops Windstream Corp. Concho Resources Hanna Andersson Tween Brands Edward Bastian		EXISTING USERS Username Password Forget your password? Missing a product?

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