KINGSPORT — TriSummit Bank announced Tuesday its acquisition of Morristown-based Community National Bank (CNB) of the Lakeway area.
The deal will expand TriSummit’s footprint to seven financial centers — four in the Tri-Cities, two in Morristown and one in Jefferson City.
The new bank will keep the TriSummit Bank name and remain headquartered in Kingsport.
“We think this is going to be a great opportunity for both banks and for our teams in the markets we serve,” said R. Lynn Shipley Jr., TriSummit’s president and CEO. “We believe the Lakeway region is an important part of Tennessee, and we are extremely pleased to be moving into that part of the market.”
TriSummit is paying $5.35 per share to CNB shareholders, thus making the deal worth about $10.1 million in an all-cash transaction, according to Shipley. CNB reported having total assets of $107 million as of last fall. TriSummit reported having total assets of $262 million at the end of last September.
“Our customers will continue to see the same friendly, local employees and the strong commitment to local community,” CNB Chairman and CEO Sam Grigsby Jr., said of the transaction. “TriSummit will be able to offer expanded depository products, trust and investment services, and a larger lending capacity, all of which are needed by our Lakeway customers.”
Grigsby will serve as a TriSummit director and also serve as chairman of the Lakeway Advisory Board of TriSummit.
CNB opened as a regional bank in April 2003, while TriSummit has been in business about seven years.
For more about TriSummit go to www.trisummitbank.com.