Thursday, August 8, 2013

Carolina Alliance Bank, Forest Commercial Bank to merge

Carolina Alliance Bank and Forest Commercial Bank said Thursday that they plan to merge, creating a community bank that will be based in Spartanburg, S.C., and have about $385 million in assets.

The deal, which is subject to regulatory and shareholder approval, calls for the combined company to operate as Carolina Alliance Bank.

Asheville-based Forest Commercial has a small presence in Charlotte, with only a loan-production office in the city, at 122 Cherokee Road. It has just two other locations, in Asheville and Hendersonville.

Carolina Alliance is based in Spartanburg and has only one location, in Spartanburg.

Under the deal, the combined bank would have three full-service offices in Spartanburg, Asheville and Hendersonville; a loan production office in Charlotte; and a proposed branch office in Seneca, S.C.

Increased regulatory burdens on banks have some observers predicting that there will be more mergers and acquisitions in the industry.