Baycom Corp · NASDAQ:BCML
Baycom — Merger or Acquisition (November 2019)
9 slides from Baycom's merger presentation, Nov 4, 2019
Slide 1: Continued Expansion into Colorado
Continued Expansion into Colorado Grand Mountain Bancshares, Inc. Holding Company for November 4, 2019
Slide 2: Forward Looking Statements
Forward Looking Statements When used in this presentation and in other documents filed with or furnished to the Securities and Exchange Commission (the “SEC”), in press releases or other public shareholder communications, or in oral statements made with the approval of an authorized executive office
Slide 3: Transaction Rationale
Transaction Rationale Attractive addition to Colorado market following the completion of TIG Bancorp acquisition Grand Mountain Bank is the market leading community bank in Grand County, CO Strategically with 26.4% deposit market share Compelling Desirable, low cost, core deposit base - $117M
Slide 4: Corporate Overview – Grand Mountain Bancshares, Inc.
Corporate Overview – Grand Mountain Bancshares, Inc. Overview Financial Highlights1 Grand Mountain Bancshares, Inc. is the holding company for Grand Mountain Bank, FSB – a community bank committed to providing Balance Sheet: quality, personal service to individuals and businesses in its Assets:
Slide 5: Transaction Terms
Transaction Terms Purchase Price $3.40 per share Aggregate Deal Value1 $13.9 million Consideration Mix 100% Cash P/TBV 126.2% Price/LTM EPS: 23.3x P/E Price/2019 Est. EPS : 23.8x Termination Fee $500 thousand Required Approvals Customary regulatory approvals and GMB shareholder appro
Slide 6: Key Transaction Assumptions
Key Transaction Assumptions Estimated Cost Savings 35% Purchase Accounting $1.2 million loan mark, approximately 1.4% Marks Core Deposit Intangible $1.5 million, 1.50% on non-maturity deposits Revenue Synergies: None modeled Capital Contingency: None 6
Slide 7: Pro Forma Loan Portfolio
Pro Forma Loan Portfolio United Business Bank¹ Grand Mountain Bank, FSB Pro Forma C&D Consr & Other Consr & Other Consr & Other 3.5% 3.6% 5.0% 3.7% C&D C&D 1-4 Fam C&I 3.9% C&I HELOC 10.1% 10.6% 5.7% C&I 11.7% 1.6% 1-4 Fam 11.3% 13.0% HELOC Other CRE 1.7% 8.5% Multifam Multifam 9.2% 8.6% OwnOcc CRE
Slide 8: Pro Forma Deposit Composition
Pro Forma Deposit Composition United Business Bank¹ Grand Mountain Bank, FSB Pro Forma Time Time Deposits Deposits < < $100k Time Deposits $100k 3.4% < $100k 3.5% 4.6% Time Deposits MMDA & Sav > $100k Time Deposits 30.8% 3.4% Time Deposits > $100k > $100k 17.0% MMDA & Sav MMDA & Sav 16.1% 30.7% 30.7
Slide 9: Grand Mountain Bank, FSB Financial Overview
Grand Mountain Bank, FSB Financial Overview For the Twelve Months Ended Quarters Ended In $000s except for per share data 12/31/16 12/31/17 12/31/18 12/31/18 3/31/19 6/30/19 9/30/19 Balance Sheet Total Assets $100,948 $109,083 $113,938 $113,938 $117,878 $122,258 $130,591 Total Loans $61,338 $66,120