1st United, Enterprise Bancorp Receive Merger Approval
1st United Bancorp (Bancorp) and Enterprise Bancorp (EBI) announced that they have received all regulatory approvals for their merger under which Bancorp and 1st United Bank (1st United), the wholly-owned subsidiary of Bancorp, will acquire EBI and its wholly owned subsidiary Enterprise Bank of Florida for approximately $45 million total consideration.
In accordance with the agreement, the $45 million will be paid in $6 million in cash, $24 million consisting of all Enterprise Bank non-performing assets and certain other classified Enterprise Bank loans, and $15 million in impaired and below investment grade investments of Enterprise Bank.
Established in 1990 and headquartered in North Palm Beach, FL, Enterprise Bank operates three banking centers (North Palm Beach, Jupiter, and Palm Beach Gardens). EBI has approximately $260.5 million in total assets, $171.9 million in net loans, $186.3 million in total deposits, and $38.6 million in total shareholder equity at March 31, 2013.
This in-market merger gives 1st United additional quality loans and deposits in Northern Palm Beach County, along with a team of exceptional bankers.
Based on the structure of the merger, Bancorp anticipates adding approximately $150 million in loans and $183 million in deposits from EBI. In addition, of the three branches acquired, one will be consolidated into an existing 1st United banking center, and one of 1st United’s branches will be consolidated into a banking center of the former Enterprise. The result will be one net new 1st United branch located in Jupiter, FL, added as a part of this transaction.