MCKENNEY, Va., Oct. 13, 2017 /PRNewswire/ -- Bank of McKenney ("McKenney") (OTC Pink: BOMK) and CCB Bankshares, Inc. ("CCB") (OTC Pink: CZYB), parent company of Citizens Community Bank, announce receipt of regulatory approvals from the Commonwealth of Virginia State Corporation Commission and The Federal Reserve Bank of Richmond for the previously announced proposed merger of equals between the two banks. The merger is subject to approval by both shareholder groups and is expected to close before the end of the year. CCB shareholders will receive 0.935 shares of McKenney stock under the proposed agreement.
"We are very pleased to receive the regulatory approvals in a timely manner which will help us maintain our goal of closing the merger during the fourth quarter," stated Richard M. Liles, President and CEO of McKenney. "We look forward to creating a high-quality bank that will continue to serve its communities with broader product offerings and increased lending capacity."
"Employees of both banks have been working well together to ensure a smooth transition during the merger," commented James R. Black, President and CEO of CCB. "We are excited with the opportunity of bringing two neighboring community banks together for the benefit of all stakeholders; our customers, our shareholders and our communities. This merger allows us to leverage our resources in ways neither bank could achieve on its own."
The combined bank is expected to have approximately $442 million in assets, $344 million in loans and $381 million in deposits based on reported financial information as of June 30, 2017. It will be headquartered in Prince George County, Virginia in a facility that will consolidate management and operations now housed in five different locations. There will be 13 full-service offices and one loan production office located in southeastern Virginia and northern North Carolina.
About Bank of McKenney
Bank of McKenney is a full-service community bank headquartered in McKenney, Virginia with seven branches serving southeastern Virginia. The bank has been dedicated to serving its communities for over 100 years and offers a full suite of banking services to individuals and businesses. For more information and additional financial data, please visit www.bankofmckenney.com.
About CCB Bankshares, Inc.
CCB Bankshares, Inc. is a Virginia state chartered bank holding company headquartered in South Hill, Virginia and parent company to Citizens Community Bank. It operates six branches, three in southcentral Virginia and three in northern North Carolina, as well as a loan production office in Clarksville, Virginia. For more information and additional financial data, please visit www.myccb.bank.
Additional Information and Where to Find It
In connection with the proposed merger, McKenney and CCB have each delivered a definitive joint proxy statement/prospectus to their respective shareholders seeking approval of the merger and related matters. Investors and shareholders of both companies are urged to read the definitive joint proxy statement/prospectus because it contains important information about McKenney, CCB and the proposed transaction. Free copies of the definitive joint proxy statement/prospectus may be obtained by directing a request by telephone or mail to Bank of McKenney, P.O. Box 370, McKenney, Virginia 23872, (804) 478-4484, or by accessing the document at McKenney's website: http://www.bankofmckenney.com under "Investor Relations", or CCB Bankshares, Inc., 800 North Mecklenburg Avenue, South Hill, Virginia 23970, (434) 447-2265, or by accessing the document at CCB's website: https://www.myccb.bank under "Investor Relations." Information on McKenney's and CCB's websites is not, and shall not be deemed to be, a part of this release.
Statements made in this release, other than those concerning historical financial information, may be considered forward-looking statements, which speak only as of the date of this release and are based on current expectations and involve a number of assumptions. These include statements as to the anticipated benefits of the merger, including future financial and operating results, cost savings and enhanced revenues that may be realized from the merger as well as other statements of expectations regarding the merger and any other statements regarding future results or expectations. Each of McKenney and CCB intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and is including this statement for purposes of these safe harbor provisions. The companies' respective abilities to predict results, or the actual effect of future plans or strategies, is inherently uncertain. Factors which could have a material effect on the operations and future prospects of each of McKenney and CCB, and the resulting company, include but are not limited to: the businesses of McKenney and CCB may not be integrated successfully or such integration may be more difficult, time-consuming or costly than expected; expected revenue synergies and cost savings from the merger may not be fully realized or realized within the expected timeframe; revenues following the merger may be lower than expected; customer and employee relationships and business operations may be disrupted by the merger; the ability to obtain required regulatory and shareholder approvals, and the ability to complete the merger on the expected timeframe may be more difficult, time-consuming or costly than expected; changes in interest rates, general economic and business conditions; legislative/regulatory changes; the monetary and fiscal policies of the U.S. government, including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve; the quality and composition of the loan and securities portfolios; demand for loan products; deposit flows; competition; demand for financial services in the companies' respective market areas; the companies' respective implementation of new technologies and their ability to develop and maintain secure and reliable electronic systems; changes in the securities markets; and changes in accounting principles, policies and guidelines. McKenney and CCB undertake no obligation to update or clarify these forward-looking statements, whether as a result of new information, future events or otherwise.