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TowneBank deal shrinks pool of NC bank targets

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TowneBank deal shrinks pool of NC bank targets

The Virginia lender is paying a premium for Mooresville, North Carolina-based Blueharbor, and scarcity value makes the remaining banks in the Tar Heel State “quite valuable,” an analyst said.

Suffolk, Virginia-based TowneBank’s $154 million acquisition of Mooresville, North Carolina-based Blueharbor Bank could make the Tar Heel State’s remaining banks more valuable.

Blueharbor had $628 million in assets, $537 million in loans, $551 million in deposits and five locations, as of June 30. The deal is expected to close in the first quarter of 2027, the banks said in a Tuesday news release.

The stock-and-cash deal is set to bolster $22.6 billion-asset TowneBank’s position in the Charlotte metro area and in towns north of the city, including Mooresville and Statesville, and it will add TowneBank’s resources to Blueharbor’s community bank lending and deposit relationships, the banks said.

TowneBank has about 70 locations across Hampton Roads and central Virginia, eastern and central North Carolina, the Greenville and upstate region of South Carolina, and Charleston, South Carolina. Blueharbor, founded in 2008, has branches in Mooresville, Statesville and Mount Airy, North Carolina, and loan production offices in Belmont and Hickory, North Carolina.

The proposed deal, priced at 2.2 times book value and a 17% gross deposit premium, offers “a friendly reminder that scarcity value is an important nuance of Bank M&A today and in the future,” Christopher Marinac with Brean Capital wrote in a Wednesday note.

-chartered banks in North Carolina with more than $500 million in assets, Marinac said.



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