Stonegate Bank has signed a definitive agreement to buy Regent Bancorp, including its wholly-owned subsidiary Regent Bank.
Stonegate Bank’s management expects the combination will increase total assets to about $2.7 billion and will rank Stonegate Bank as the ninth-largest Florida-based bank. This transaction, which has been approved by both boards of directors, is expected to close in the third quarter, Stonegate announced Tuesday.
Under the terms of the agreement, Regent Bancorp shareholders will receive 0.2893 shares of SGBK common stock for each share of RBI common stock, subject to terms of the merger agreement. The transaction is valued at about $9.02 per Regent Bancorp share or $40 million, based on the closing price for Stonegate common stock on Monday. This will be Pompano Beach-based Stonegate’s ninth acquisition since 2009.
Davie-based Regent Bank is a state-chartered bank operating five branches in Broward and Palm Beach counties. As of Dec. 31, Regent Bancorp, the holding company, had total assets of $363 million, loans of $274 million and deposits of $293 million.
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“This acquisition significantly expands our deposit market share in Broward County to approximately 2.2 percent, resulting in Stonegate having the largest deposit market share of any community bank in Broward County,” Dave Seleski, Stonegate president and CEO, said in a news release. “In addition, we increase our branch network to three branches in Palm Beach County with close to $350 million in total deposits. After consummation of the merger, Stonegate’s total combined deposits in southeast Florida are expected to exceed $1.5 billion.”