Mergers and Acquisitions
Transaction Details
DD&F CONSULTING GROUP 
Deal Overview
Buyer:  Banc Corporation (Click for buyer financial information)
Target:  Community Bancshares, Inc. (Click for target financial information)
Deal Type:  Bank & Thrift Company
Announcement Date 4/29/06   Announced Deal Value ($M) 96.5
Status Completed   Announced Deal Value Per Share ($) 10.10
Completion Date 11/7/06      
 
Deal Summary
Birmingham, Ala.-based Banc Corp. has agreed to acquire Blountsville, Ala.-based Community Bancshares Inc. "In 2005, we identified northeast Alabama and Florida as markets important to our future. This partnership will allow us to execute that strategy in the northeast quadrant of Alabama," Banc Corp. CEO Stan Bailey said in a news release, adding that this merger will more than triple its presence in northern Alabama. Banc Corporation will add 18 branches in Alabama ranked No. 8 with a 1.9% share of about $35.3 million in total market deposits.

Deal Pricing Ratios
  Announcement Completion
Price / Book (%) 207.73 195.53
Price / Tangible Book (%) 222.87 209.59
Price / LTM EPS (x) 56.09 40.08
Price / Deposits (%) 21.87 21.17
Price / Assets (%) 16.75 16.14
Tang Book Premium / Core Deposits (%) 15.34 14.32


Deal Terms

Description of Consideration
Banc Corp. exchanged 0.8974 share for each common share of Community Bancshares. Holders of Community Bancshares options and warrants received cash valued at the difference between $10.50 and the strike price.
Accounting Method NA   Lockup Agreement No
In-State Transaction? Yes   Strike Price ($) NA
Merger of Equals? No   % of Shares Outstanding NA
Geographic Expansion? Market Expansion   Shares Under Option NA
Goodwill Generated ($000) NA   Core Deposit Intangibles ($000) NA
Estimated Cost Savings (%) 25.00   Est. Restructuring Charges ($000) 1,200
Termination Fee ($000) NA  
Exchange Ratio
(Common For Common)
0.8974  
         
Consideration Breakout
Cash ($M)   6.7
Common Stock ($M)   85.6
Common Shares Issued   8,072,179
Preferred Stock ($M)   0
Preferred Shares Issued   0
Debt ($M)   0
Other ($M)   0

Deal Advisers

Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes Burke Capital Group, LLC
DD&F Consulting Group
Sandler O'Neill & Partners LP
 
Seller Yes FIG Partners LLC
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Balch & Bingham LLP
 
Seller Yes Alston & Bird LLP

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