MEDIA FREQUENTLY ASKED QUESTIONS
Cadence Financial Corporation agrees to be acquired by Community Bancorp
1. Who is Community Bancorp LLC?
Community Bancorp LLC is a bank holding company, headquartered in Houston, Texas. CBC has raised equity capital commitments in excess of $900 million for the purpose of making investments in the U.S. banking sector, with a particular focus on community banks that are well positioned to benefit from the equity capital and industry expertise CBC can provide. CBC has a highly experienced Board of Directors and management team led by Paul B. Murphy, Jr., Chief Executive Officer and Director. Mr. Murphy was Chief Executive Officer and President of Amegy Bank of Texas, an $11 billion bank headquartered in Houston, Texas, until joining CBC. He is a director of the Mississippi State University Foundation, Federal Reserve Bank of Dallas, Houston branch, and Hines Real Estate Investment Trust.
2. Who will manage Cadence Bank after the close of the merger?
The current management team will continue to lead Cadence Bank with the new financial resources that CBC brings to the bank. CBC”s management team is very pleased to enter into this definitive agreement. Cadence has a talented management team and highly dedicated employees.
3. What will happen to your employees with this merger?
Cadence Bank will continue to retain employees and anticipates needing more talented employees as we move forward.
4. What does this mean to the community?
With the additional capital, Cadence Bank will continue to support the communities that it operates in by providing loan, deposit and investment products. Cadence will also continue its strong commitment and involvement in community support and activities.
5. Why did you accept the CBC offer?
CBC”s offer of $2.50 per share in cash provides a higher value per share compared to the other offer. The CBC offer was a cash offer, not subject to market fluctuations. In addition, Cadence will retain its bank charter, name, employees and strong community commitments.
6. When do you think the transaction will close?
It is anticipated that this transaction will close by year-end or early first quarter 2011.
7. Will you have a shareholders meeting?
Yes, Cadence will have a shareholders meeting late in the fourth quarter. Proxies will be mail to shareholders approximately twenty days prior to the meeting. Proxy material will contain detailed information regarding this transaction.
8. What happens to Cadence stock going forward?
Cadence shareholders will receive $2.50 per share in cash in exchange for their Cadence shares. At the conclusion of the transaction, Cadence will become a wholly owned subsidiary of Community Bancorp.
9. What happens next?
CBC will begin filing applications for regulatory approval immediately. Cadence will be preparing a proxy for its shareholders to be followed by its shareholders meeting.
10. What if the previous company, Trustmark, comes back with an additional offer?
We do not expect that to happen. Our Board has been thorough in its evaluation of this transaction and its process. Trustmark is an excellent company. Our focus now will be turned to maximizing our relationship with CBC.
11. Why is Cadence attractive to CBC?
Cadence has a 125 year old banking company with approximately 40,000 customers. The Bank has a solid operations platform that CBC intends to use as the backbone to continue serving its existing customer base and growing new relationships. CBC is impressed by the vibrant business community in the Cadence”s Golden Triangle franchise in Mississippi and looks forward to partnering with Cadence.
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