HomeTrust Bank announces plan of conversion

Published 3:49 pm Friday, January 6, 2012

Tryon Federal Bank of HomeTrust Bank has announced it will convert from a mutual to stock bank. (photo by Gwen Ring)

HomeTrust Bank announced the adoption of a plan of conversion whereby HomeTrust Bank will convert from a mutual to stock bank. Tryon Federal Bank, Rutherford County Bank, HomeTrust Partner Banks will also participate in the plan.
The board will form a holding company, HomeTrust Bancshares Inc., to offer for sale shares of common stock to depositors and certain borrowers of HomeTrust Bank and its partner banks and others in a subscription and community offering.
HomeTrust Bank’s chairman and CEO, Ed Broadwell, said after diligent study and consideration the board concluded that raising capital and increasing operating flexibility was a prudent and advisable step to strongly position the unique banking partnership for the future. Also, improving the banking company’s capital position during the continuing period of significant economic uncertainty makes good business sense.
“The stock offering will allow us to support future internal growth through increased lending and growing deposits. It will also provide us with additional financial resources and operating flexibility to add new community bank partners in Western North Carolina and the North Carolina Piedmont,” Broadwell said.
“We have had the privilege of serving Tryon and Columbus for more than 75 years, where we have focused on building long-term relationships with our employees, our customers and our communities,” commented Jerry Johnson, Tryon and Rutherford County president. “Personal service is part of our culture and a way of doing business that we will continue as a stock institution. Now more than ever customers want a local bank where they know your name and truly care about serving your financial needs.”
While the stock will be offered to the communities of all the partner banks, members will have a priority right to purchase the stock, including a first priority right for depositors as of Nov. 30, 2010. It is anticipated that the conversion will be completed in the second quarter of 2012.
HomeTrust Bank operates as the HomeTrust Banking Partnership of hometown community banks doing business as HomeTrust Bank, Tryon Federal Bank, Shelby Savings Bank, Home Savings Bank, Industrial Federal Bank, Cherryville Federal Bank and Rutherford County Bank.
The banking partnership has a history of serving families and businesses in North Carolina since the early 1900s. Together, the partner banks represent the 11th largest bank headquartered in North Carolina.
– article submitted by Stacie Hicks

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