Local bank branches likely to be sold this year

Community Bank branches part of a deal

The Crested Butte, Mt. Crested Butte and Gunnison branches of Community Banks of Colorado are in the process of being acquired by a new company, NBH Holdings Corp.
Those three branches are three of 16 Community Banks of Colorado branches that are being sold to NBH. There are 38 branches in the Community Banks system. NBH has bank holdings in Colorado, Missouri and Kansas.

Community Banks has been under scrutiny from federal banking regulators and in fact last February had received a directive stating the company needed to bring in more equity or sell to another bank. This transaction appears to satisfy that demand.
“The 16 branches involved in this transaction will be in very good hands and our remaining branches will be renamed and, with our enhanced capital resources, we will continue to improve the banks’ performance,” said Don Woods, chairman of the board, president and CEO of Community Bankshares Inc. “We believe this transaction is a win-win for all parties.”
The purchased branches, like those in Crested Butte and Gunnison, will retain the Community Banks name. No personnel changes are expected if the transition closes later this year.
“We are pleased to reach this agreement with Community Bankshares to expand our presence in the Colorado banking market,” said Tim Laney, president and chief executive officer of NBH, in a press release. “We are confident that we can build on the foundation provided by this transaction… and our recent acquisition of Bank of Choice in Greeley Colorado… to demonstrate our commitment and offer high quality service to our clients, associates and the community,
“The transaction was announced Monday and it is still subject to regulatory approval by both the state and feds,” explained Community Bankshares spokesperson Jane Thompson. “Everyone hopes to have it finalized and completed by the end of the year.”
Thompson said customers should see no changes as a result of the sale. Those working at the bank branches are expected to continue to do so.
“NBH wants to expand its footprint in Colorado and Community Bankshares can use the money from this transaction to adequately capitalize the remaining bank company that will be renamed and rebranded.”
Thompson said Woods had met with several interested investors “and NBH appeared to be the best fit.”
“Colorado is an extremely important market to us,” said Laney. Colorado is performing better than the national average in terms of population growth, job growth forecast and median household income. By growing our community banking franchise in Colorado, we look forward to playing a role in helping Colorado realize its economic potential.”