NEWS RELEASE For Immediate Release
September 15, 2023
Contact: David L. Sauls, Jr
Southern BancShares (N.C.), Inc.
(919) 658-7013
MOUNT OLIVE, N.C.-- Southern BancShares (N.C.), Inc. (the “Company” or “Southern”) (OTC Pink: SBNC), the holding company for Southern Bank and Trust Company, announced today that it has filed an application with the Federal Reserve Board of Richmond (“FRB”) to increase its ownership interest in the common shares of Old Point Financial Corporation (“Old Point”) (NASDAQCM: OPOF).
In 2022, the FRB approved a similar application filed by the Company to acquire up to 19.9% of Old Point’s common shares. The FRB’s 2022 approval of the application was granted for a 12-month period, which has since expired. The Company and its affiliates currently own approximately 6.0% of the outstanding common shares of Old Point and due to the expiration of the FRB’s 2022 approval, the Company has filed a new application seeking regulatory approval to acquire up to 19.9% of Old Point’s common shares. While this is required to be presented as a new application, it is fundamentally identical to the Southern’s previous application (expired) to enable the continued purchase of shares for investment purposes.
For several decades Southern has invested in the common stock of other financial institutions and believes its investment in Old Point is a sound allocation of its assets. Old Point, founded in 1923, serves the Hampton Roads and Richmond regions of eastern Virginia. The Company views Old Point’s long standing franchise in these growth markets and solid management team as a foundation for an attractive long-term return to its common shareholders.
As announced in Southern’s September 17, 2021 News Release, Southern’s investment in Old Point is passive and it has no plans to influence or impede the management, operations, or policies of Old Point. Southern has no current plans to seek representation on Old Point’s Board of Directors and has not entered into voting or other agreements with any other party as it relates to the common shares of Old Point.
About Southern BancShares (N.C.), Inc.
The Company, headquartered in Mount Olive, North Carolina and with consolidated assets of $4.8 billion is the holding company for Southern Bank and Trust Company, which was founded in 1901 and maintains 58 branches located in eastern North Carolina and southeastern Virginia.