The merger marks Fidelity's entry into the Georgia market, expanding its footprint beyond North Carolina. Both companies have expressed excitement about the merger, highlighting their shared commitment to community-focused banking. Mary Willis, President and CEO of Fidelity Bank, stated, "We are incredibly excited to welcome Affinity Bank's customers and employees into the Fidelity Bank family and to expand our presence into Georgia. This partnership brings together two community-focused organizations that share a strong commitment to relationship-driven banking."
Affinity's President and CEO, Ed Cooney, echoed this sentiment, emphasizing that the merger will enhance Affinity Bank's capabilities and suite of services, benefiting customers as they continue to expand their Georgia presence.
The boards of directors of both companies have unanimously approved the transaction, which is expected to create a combined organization with approximately $5.5 billion in total assets, $4.6 billion in total deposits, and $3.6 billion in loans. The merger agreement includes customary representations and warranties from both parties, as well as covenants related to the conduct of business during the interim period before closing. Additionally, Affinity's executives have entered into settlement agreements regarding their employment terms, which include significant cash payments upon termination.
This merger is seen as a strategic move for both companies, allowing them to leverage each other's strengths and enhance their service offerings in the competitive banking landscape. Stakeholders are encouraged to review the proxy statement and related documents that will be distributed prior to the special meeting of stockholders to vote on the merger agreement.
