HomeTrust Banchares, the holding company of HomeTrust Bank, agreed to sell its two Knoxville, Tennessee, locations and about $42 million for customer deposit accounts to Apex Bank, which is based in the Tennessee city.
sheville-based HomeTrust will retain the loan accounts associated with the branches.
“This transaction aligns with our strategic plan to tighten our geographic footprint, improve our branch efficiencies, and allocate our capital to support our long-term growth in other core markets,” says HomeTrust’s CEO Hunter Westbrook, in an SEC filing.
Terms of the transaction were not disclosed. It is expected to close in the second quarter. HomeTrust officials did not immediately return a message seeking comment.
HomeTrust Bank, which used to be called Clyde Savings Bank, was founded in 1926 and had $4.6 billion in assets as of Dec. 31. It has more than 30 locations in North and South Carolina, east Tennessee, southwest Virginia and the Atlanta area.
Apex Bank was founded in 1931, has about $1.35 billion in assets, up from $157 million in 2008. The bank has 20 retail locations and a Knoxville-based national mortgage servicing center.
Minneapolis-based Piper Sandler & Co. was HomeTrust’s financial adviser. Washington, D.C.-based Silver, Freedman Taff & Tiernan provided legal counsel. Memphis-based Baker Donelson provided legal counsel for Apex.
HomeTrust shares opened Tuesday at $36.85. Shares have gained 26% in the past year, trading as high as $38.99. It has a market capitalization of $644.1 million.