Oconee Federal Completes Acquisition of Mutual Savings Bank
February 01 2024 - 8:38AM
Business Wire
Oconee Federal Financial Corp. (OTC: OFED) (“the Company”), the
holding company for Oconee Federal Savings and Loan Association
(“Oconee Federal”), and the majority-owned subsidiary of Oconee
Federal, MHC (“the MHC”), has completed its acquisition of Mutual
Savings Bank (“Mutual”).
Mutual’s office has become a branch office of Oconee Federal. As
part of the transaction, the Company has issued 230,215 shares of
its common stock to the MHC, or $3.2 million, which is equal to the
fair value of Mutual as determined by a third-party appraisal. The
transaction has increased the Company’s consolidated assets to
approximately $660 million. Furthermore, the transaction was
immediately accretive to the Company’s earnings and is expected to
be going forward, and immediately accretive to the Company’s
tangible book value per share. Oconee Federal’s capital ratios
continue to exceed “well capitalized” regulatory standards.
Oconee Federal has established an Advisory Board and offered
membership on it to the current directors of Mutual. Oconee Federal
will also support the Hartsville, South Carolina community through
charitable grants from the Oconee Federal Foundation based on
recommendations of the Advisory Board.
Curtis Evatt, President and Chief Executive Officer of Oconee
Federal, stated “We are pleased to announce the completion of our
merger with Mutual Savings Bank. Each institution has worked
diligently to prepare for the integration of our two companies, and
we welcome Mutual’s customers to the combined company.”
Thomas Goodson, former Chairman of the Board of Mutual, said “We
are excited to join the Oconee Federal team and work together to
benefit all of our customers. The merger will enable us to provide
customers with a larger suite of products and service capabilities
while we continue to support our community.”
Luse Gorman, PC, Washington, D.C., acted as legal counsel to
Oconee Federal and Hinman, Howard & Kattell, LLP acted as legal
counsel to Mutual. Capital Resources Group, Inc. served as
financial advisor to Oconee Federal.
Forward-Looking Statements
This news release contains forward-looking statements.
Forward-looking statements are typically identified by words such
as “believe,” “expect,” “anticipate,” “intend,” “outlook,”
“estimate,” “forecast,” “project” and other similar words and
expressions. Forward-looking statements are subject to numerous
assumptions, risks and uncertainties, which change over time.
Forward-looking statements speak only as of the date they are made.
Because forward-looking statements are subject to assumptions and
uncertainties, actual results or future events could differ,
possibly materially, from those that the Company and Oconee Federal
anticipated in its forward-looking statements, and future results
could differ materially from historical performance. Factors that
could cause or contribute to such differences include, but are not
limited to: increased economic pressures; increased competition,
interest rate or legislative or regulatory changes; reputational
risks and the reaction of the companies’ customers to the
transaction; and diversion of management time on merger-related
issues. Neither the Company nor Oconee Federal assumes any duty and
do not undertake to update forward-looking statements.
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version on businesswire.com: https://www.businesswire.com/news/home/20240201120509/en/
Curtis T. Evatt President and Chief Executive Officer Oconee
Federal Savings and Loan Association 864-882-2675
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