Triumph Financial, Inc. · NYSE:TFIN
Triumph Financial — Triumph Bancorp — Merger or Acquisition (March 2016)
11 slides from Triumph Financial's merger presentation, Mar 7, 2016
Slide 1: Acquisition of ColoEast Bankshares, Inc.
Exhibit 99.2 ACQUISITION OF COLOEAST BANKSHARES, INC. March 7, 2016
Slide 2: Disclaimer: Forward-Looking Statements
DISCLAIMER FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements. Any statements about our expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. You can identify fo
Slide 3: Transaction Summary
TRANSACTION SUMMARY • Structure – Transaction value $69-$70 million, depending on NPA levels – 100% cash consideration – $11.9 million of TruPS to be assumed by Triumph, $19.6 million of other debt, preferred and accrued obligations to be retired at or before closing (details on p.9) • Closing condi
Slide 4: Transaction Rationale
TRANSACTION RATIONALE • Execution on our strategy – Deploys excess capital to expand community banking platform and support future commercial finance growth • Consistent with our criteria – An attractive deposit franchise for a reasonable price – Projected to be accretive to earnings, < 3.5 year rec
Slide 5: Consistent with Our Criteria
CONSISTENT WITH OUR CRITERIA • Meaningful size – $759 million in assets with potential for growth • Strong deposit franchise – 30 bps cost of deposits, 68% deposits trans/MMDA/savings (ex time) • Significant funding capacity – 68% loan to deposit ratio • Opportunity to capture substantial efficienci
Slide 6: Overview of ColoEast Bankshares, Inc.
OVERVIEW OF COLOEAST BANKSHARES, INC. • Based in Lamar, Colorado; 16 branches, 1 LPO in Colorado, 2 branches in western Kansas • $759 million in assets, $453 million in loans yielding 5.6% • $664 million in deposits with cost of 30 bps • $15 million (2.0% assets) in NPAs (nonaccrual + OREO), project
Slide 7: Overview of ColoEast Bankshares, Inc.
OVERVIEW OF COLOEAST BANKSHARES, INC. PAGE 7
Slide 8: Pricing and Financial Impact
PRICING AND FINANCIAL IMPACT 1 • Valuation multiples – 1.30x current TBV at YE 2015 2 – 1.40x current TBV at YE 2015 less preferred dividends – 31.6x 2015 earnings (includes $2.5 million OREO expenses rolling off) 3 – 16.1x run rate earnings (Q3-Q4 2015 annualized) 4 • Projected earnings accretion –
Slide 9: Transaction Assumptions
TRANSACTION ASSUMPTIONS • Holding company obligations as of 12/31/15 – Preferred (TARP): $10.5 million principal plus $3.8 million in unpaid dividends to be retired – TruPS: $11.9 million principal to be assumed, $1.1 million in accrued interest to be paid current if in deferral at closing – Subordi
Slide 10: Pro Forma Deposit Composition
PRO FORMA DEPOSIT COMPOSITION Triumph ColoEast Pro Forma Time NIB Demand Deposits Time Time NIB Demand Deposits Deposits NIB Demand Interest Bearing Interest Demand Bearing IRAs Interest Demand Bearing Demand IRAs MMDA & MMDA & MMDA & Savings Savings IRAs Savings Triumph ColoEast Pro Forma ($ in 000
Slide 11: Pro Forma Loan Composition
PRO FORMA LOAN COMPOSITION Triumph ColoEast Pro Forma Commercial RE 1-4 Commercial Finance Family RE Comm'l Finance 520,985 RE Real Estate 520,985 40% Farmland 30% Community Community RE Constr Banking Banking & Land Dev 1,224,188 Comm'l & 770,900 Industrial 70% 60% Other Loans & Consumer Leases Tri