Editor's Note: This story has been updated since its initial report.
JACKSONVILLE, Fla.– VyStar Credit Union said it has signed a Definitive Purchase and Assumption Agreement to acquire the $1.5-billion Heritage Southeast Bank (HSB), a state-chartered bank headquartered in Jonesboro, Ga., approximately 17 miles south of Atlanta.
Heritage Southeast Bancorporation is the holding company for Heritage Southeast Bank, which operates as Heritage Bank, Providence Bank and The Heritage Bank in its various markets. HSB has 22 branch locations across Southeast Georgia, through Savannah and into the Greater Atlanta Metro area.
Since the initial report, it was reported VyStar will pay $195.7 million for the bank, according to Hovde Group, the investment bank that advised Heritage Southeast, as first reported by BankDive.com.
“VyStar has made an ongoing strategic commitment to search for partnerships that help us bring the benefits of credit union membership to more people while reinforcing our position as a strong and reliable financial institution with better rates and lower fees for all our members,” said VyStar President/CEO Brian Wolfburg. “HSB has exceeded our expectations as the optimal partner to help us expand our footprint and ensure financial services are accessible to more Georgia residents.”
VyStar noted that when finalized the acquisition will be its second in 24 months and bring its total assets to approximately $12.5 billion, full-service branches to 88 and its membership to more than 850,000, making VyStar the 13th-largest credit union in the country by asset size. The transaction is expected to close later this year and is subject to standard closing conditions as well as shareholder and regulatory agency approvals, the credit union said.
“As with our last merger, we stand committed to our customers and employees,” said Leonard Moreland, CEO of HSBI. “We look forward to working with VyStar to continue our tradition of fostering relationships to best serve our customers and having a positive impact in our local communities.”
As CUToday.info reported, in August 2019, VyStar finalized its purchase of Citizens State Bank in Perry, Fla.
“We look forward to another seamless transition with HSB,” said Chief Strategy Officer Ryan McIntyre, who VyStar said leads its efforts in identifying potential strategic partners. “The emphasis VyStar places on employees, members and communities is proving to create successful results.”
VyStar is being represented in the transaction by McGuireWoods LLP as legal counsel, and Raymond James & Associates, Inc. as financial advisor. HSBI is represented by Bryan Cave Leighton Paisner LLP as legal counsel, and Hovde Group as financial advisor.