Equity Bancshares, Inc. · NYSE:EQBK
Equity Bancshares — Merger or Acquisition (July 2016)
22 slides from Equity Bancshares's merger presentation, Jul 14, 2016
Slide 1: Merger with Community First Bancshares, Inc.
Merger with Community First Bancshares, Inc. July 14, 2016 NASDAQ: EQBK Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward-Looking Statements Special Note Concerning Forward-Looking Statements This press release contains “forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking
Slide 3: Additional Information for Investors and Shareholders
Additional Information for Investors and Shareholders Additional Information for Investors and Shareholders The information contained herein does not constitute an offer to sell or a solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the prop
Slide 4: Equity Bancshares, Inc. – Company Profile
Equity Bancshares, Inc. – Company Profile Source: SNL Financial, Management provided information, and the Wichita Business Journal Per SNL Financial and as of 6/30/2015 Deposits to be added with completion of the July 14, 2016 announced merger with Community First Bancshares, Inc.; per SNL Financial
Slide 5: Core Components of EQBK's Story
Core Components of EQBK’s Story Growth in Commercial Banking Franchise Commercial banking customers (70% of loans) Manufacturing, transportation, business Strong Operating Performance Delivered earnings and EPS growth High, stable and expanding NIM Above peer asset quality through cycles Leveraging
Slide 6: Community First Bancshares - Overview
Community First Bancshares - Overview Community First Footprint Selected Financial Highlights (1) Dollars in thousands Source: SNL Financial Data included in the Selected Financial Highlights is at the bank level and at or for the three month period ended 3/31/2106, unless otherwise noted; per SNL F
Slide 7: Arkansas Market Presence
Arkansas Market Presence Community First Bancshares – Deposit Market Share Source: SNL Financial, deposit data as of 6/30/2015 Boone County (Arkansas) Logical market extension / expansion Distance between nearest branches of 75 miles EQBK enters its third state of operation Meaningful entry into low
Slide 8: Community First Bancshares – Northern Arkansas Market
Community First Bancshares – Northern Arkansas Market Source: Arkansas Economic Development Commission, Harrison Chamber of Commerce, Berryville Chamber of Commerce, USA Today, a Division of Gannett Satellite Information Network, LLC, The Greater Eureka Springs Chamber of Commerce, SNL Financial Not
Slide 9: Transaction Overview
Transaction Overview Structure EQBK to acquire 100% of Community First Bancshares, Inc. Community First Bank will be merged into Equity Bank in 4Q 2016 Prior to closing, Community First will distribute its 23% ownership in White River Bancshares to its shareholders(1) Purchase Price Deal value: Appr
Slide 10: Compelling Strategic Partnership
Compelling Strategic Partnership Low-Risk Profile Similar customer approach, credit cultures and operating styles Retention of key local management team members Comprehensive due diligence, no concentration concerns, including CRE Strong pro forma capital ratios Cost savings primarily from operating
Slide 11: Key Transaction Assumptions
Key Transaction Assumptions Cost Savings Expected non-interest expense savings of approximately 30%, with 100% being achieved during 2017 (excludes amortization of core deposit intangibles) $4.4mm pre-tax per year Revenue Enhancements None included in pro forma projections One-time Merger Related Co
Slide 12: Financial Impact
Financial Impact EPS Impact ~26% accretive in 2017 ~25% accretive in 2018 Tangible Book Value Impact Approximately 9.0% dilutive to tangible book value at close (1) Tangible book value earn-back period estimated to be approximately 3.5 years (2) Pro Forma Consolidated Capital ~8% Tangible Common Equ
Slide 13: Comprehensive Due Diligence
Comprehensive Due Diligence Overview EQBK’s experienced loan review team has successfully completed 9 transactions Followed our disciplines Comprehensive credit due diligence review process of Community First’s loan portfolio and OREO properties $181 million of loans reviewed, representing 55% of th
Slide 14: Summary
Summary Pro forma assets of $2.1 billion Consistent with business plan and shareholder value proposition Strategic acquisition that enhances franchise value through expansion into adjacent northern Arkansas markets Clear execution pathway Compelling transaction economics with significant EPS accreti
Slide 15: Benefits to the Combined Stakeholders
Benefits to the Combined Stakeholders Customers Community banking model with a focus on serving clients Addition of branch presence in appealing northern Arkansas markets Ability to provided enhanced products and services Community bank market leader in Kansas, Missouri and Arkansas Employees Simila
Slide 16: Supplemental Information
Supplemental Information
Slide 17: Continue Building Value via Strategic Execution
Note: Yellow shading indicates M&A activity; gray shading indicates capital activity * Data as of 12/31/2007. ** Data as of 12/31/2011. *** Data as of 12/31/2017, pro forma Community First Bancshares, Inc. transaction Source: Company management 2009 $8.8mm of TARP issued Opened 2 branches in Overlan
Slide 18: Community First Bancshares – Financial Highlights
Community First Bancshares – Financial Highlights Source: SNL Financial Note: Bank level data used when holding company information is unavailable Note: Core Income excludes extraordinary items, nonrecurring items and gain/loss of securities
Slide 19: EQBK – Financial Highlights
EQBK – Financial Highlights Source: SNL Financial
Slide 20: Pro Forma Loan and Deposit Composition
Source: SNL Financial EQBK loan and deposit data per regulatory filings as of 3/31/2016. Community Bancshares, Inc. loan and deposit data per regulatory filings as of 3/31/2016. Cost of Deposits: 0.51% Cost of Deposits: 0.54% Deposit Mix Loan Mix EQBK Stand Alone Community First Stand Alone Pro Form
Slide 21: EQBK's Professional Board
EQBK’s Professional Board Gary Allerheiligen Accounting CPA Advisor, Retired Partner, Grant Thornton (KS) 0.21 Jim Berglund Banking Bank Advisor, Retired President / CEO Sunflower Bank (KS) 0.34 Michael Downing Former Ellis State Bank President (KS) 2.06 Brad Elliott Chairman / CEO of Equity Bancsha
Slide 22: Merger with Community First Bancshares, Inc.
Merger with Community First Bancshares, Inc. July 14, 2016 NASDAQ: EQBK
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