Birmingham, Ala. – Dec. 16, 2021 – Avadian Credit Union of Birmingham, Ala., announced today that it has entered into an agreement to acquire Citizens State Bank of Vernon, Ala., the banking subsidiary of Citizens Southern Bancshares, Inc. The transaction will be structured as a purchase-and-assumption transaction, and the consideration will be all-cash. Other financial terms were not disclosed.
Founded in 1977, Citizens State Bank is a full-service community bank with total assets of more than $85 million and a legacy of serving businesses, individuals and communities in Lamar County, Ala., and surrounding areas. Upon completion of the transaction, Avadian will have total assets of approximately $1.2 billion and 19 locations across Alabama.
Linda Cencula, President and CEO of Avadian, commented, “We are delighted to partner with Citizens State Bank, especially as they share our focus on running a high-quality, low-risk institution with a strong commitment to both the community and to our members and customers. This transaction will also expand our presence in Alabama as we move into the western part of the state.”
Anthony Burnett, President and CEO of Citizens State Bank, added, “We are excited about joining the Avadian family as their culture and commitment to local communities are very similar to our own. This combination is an attractive fit for our bank offering a comprehensive set of products and services to our customers and an expanded geographic diversification. The combined strength of the institutions will enhance our proven ability to serve our community while strengthening the benefits to our customers and employees.”
The transaction has been unanimously approved by the Board of Directors of both institutions but remains subject to customary conditions, including the approval of Citizens Southern Bancshares, Inc.’s shareholders and the receipt of required regulatory approvals. The transaction is expected to close no later than the third quarter of 2022.
Avadian was advised in the transaction by the law firm of Honigman LLP. Olsen Palmer LLC served as Citizens State Bank’s financial advisor while Jones Walker LLP served as Citizens State Bank’s legal advisor.