TAMPA, FL, May 12, 2022 – The Boards of Directors of DFCU Financial (“DFCU”) and First Citrus Bancorporation, Inc, (OTCPK: FCIT), the holding company for First Citrus Bank (collectively “FCB”), today announced the execution of a definitive agreement by which FCB will merge with DFCU in an all-cash transaction. Subject to the terms of the agreement, shareholders of FCB will receive $47.75 in cash for each share owned. DFCU will also cash out the outstanding options at FCB at the difference between the strike price and the per share cash consideration to FCB shareholders.
The Boards of Directors of both financial institutions have unanimously approved the transaction, which will mark DFCU’s entry into the state of Florida. As of March 31, 2022, FCB had approximately $689 million in assets, $398 million in loans, and $622 million in deposits. The combined entity will have approximately $7.1 billion in assets and nearly $800 million in capital across its Michigan and Florida footprint with a total of 33 branch locations.
Ryan Goldberg, President & CEO of DFCU stated, “First Citrus represents DFCU’s initial expansion into Florida and a significant increase in commercial lending presence and expertise. CEO Jack Barrett’s leadership has fostered a customer centric culture that closely aligns with DFCU’s core values. We look forward to benefiting from his leadership going forward.”
Jack Barrett, President & CEO of FCB commented, “We’re delighted that DFCU has chosen Tampa Bay as their Florida headquarters and honored they have entrusted our executive team to build upon their 72-year history. This merger is not only a win for our shareholders, it’s a win for our associates, clients, Tampa Bay, and frankly the state of Florida. DFCU’s midwestern values align well with ours. We are proud to fly the DFCU flag and look forward to raising it throughout our state!”
Upon completion of the transaction, the entire management team of FCB will join DFCU, with Jack Barrett being named Florida Market President and the remaining executives fulfilling similar roles as they currently hold at FCB for the Florida operations of DFCU. Additionally, DFCU intends to keep all of FCB’s branches open following completion of the transaction.
The transaction is contingent on approval by the shareholders of FCB and is expected to be completed in the fourth quarter of 2022, subject to all required regulatory requirements and approvals and the fulfillment of all customary closing conditions.
DFCU is being advised by the investment banking firm Donnelly Penman & Partners, Inc. and the law firm Honigman, LLP. FCB is being advised by the investment banking firm Hovde Group, LLC and the law firm Smith Mackinnon, PA.
About DFCU Financial
Founded in 1950 and headquartered in Dearborn, Michigan, DFCU Financial with approximately $6.4 billion in assets and over $765 million in net worth is one of the top performing credit unions in the country. With over 240,000 members, DFCU has 27 full-service branches in metro Detroit, Ann Arbor, Grand Rapids and Lansing Michigan, which are staffed by local financial specialists uniquely qualified to help members and businesses achieve important financial milestones. DFCU is known for its member cash back program, which has been in place for 16 consecutive years and paid out $36 million to members in 2021 for an aggregate total of nearly $400 million over that timeframe. DFCU is committed to its members and the communities they serve. To find out more please visit www.dfcufinancial.com.
About First Citrus Bancorporation, Inc. and First Citrus Bank
First Citrus Bancorporation, Inc. (OTCPK:FCIT), is a Florida corporation and the parent bank holding company for First Citrus Bank, a Florida commercial bank. First Citrus Bancorporation, Inc., is headquartered in Tampa, Florida and was ranked as the third best-performing regional bank stock in the Southeastern United States over the past three years by S&P Global Market Intelligence.
First Citrus Bank, a $700 million commercial bank, was established in 1999. Ranked as one of the Top 100 Community Banks in 2021 by American Banker and named Top 5 SBA Lender in Tampa Bay for 2020 by the SBA. First Citrus Bank was selected as the Tampa Bay Chamber of Commerce 2019 Small Business of the Year and ranked as one of the Top 25 Commercial Loan Producers in the Nation by the magazine Independent Banker. It serves businesses and individuals through a range of tailored financial solutions specializing in personal and business banking services with six locations throughout Tampa Bay.
First Citrus Bank enhances vibrancy throughout Tampa Bay by helping families become more financially secure and businesses economically successful. For additional information, please visit http://www.firstcitrus.com.
Forward Looking Statements
This press release contains statements about the anticipated consolidation of DFCU and FCB that are not statements of historical fact. These statements are “forward looking statements” for purposes of applicable securities laws, and are based on current information and/or management’s good faith belief as to future events. The words “estimate,” “believe,” “expect,” “anticipate,” and similar expressions signify forward-looking statements. Forward-looking statements should not be read as a guarantee of future performance. By their nature, forward-looking statements involve inherent risk and uncertainties, which change over time; and actual performance could differ materially from those anticipated by any forward-looking statements. DFCU nor FCB undertakes no obligation to update or revise any forward-looking statement.