Colony Bankcorp to acquire TC Bancshares in $86.1 million deal

FITZGERALD, Ga. - Colony Bankcorp, Inc. (NYSE:CBAN), a regional bank with a market capitalization of $310 million and strong financial health metrics according to InvestingPro, has agreed to acquire TC Bancshares, Inc. (OTCQX:TCBC) in a combined stock-and-cash transaction valued at approximately $86.1 million, according to a press release statement issued by both companies.

Under the terms of the definitive merger agreement, TC Bancshares shareholders will have the option to receive either $21.25 in cash or 1.25 shares of Colony common stock for each share of TC Bancshares stock they own. The transaction structure allocates approximately 20% of the consideration in cash and 80% in Colony common stock. Colony’s stock, currently trading at $17.80, appears undervalued according to InvestingPro’s Fair Value analysis, with the company maintaining dividend payments for 9 consecutive years.

The merger will create a combined organization with approximately $3.8 billion in total assets, $3.1 billion in total deposits, and $2.4 billion in loans. Colony Bank operates locations throughout Georgia as well as in Alabama and Florida, while TC Federal Bank serves communities in Northern Florida and Southern Georgia.

TC Bancshares President and CEO Greg Eiford will join Colony as Executive Vice President and Chief Community Banking Officer following the completion of the transaction.

The boards of directors of both companies have unanimously approved the merger, which is expected to close in the fourth quarter of 2025. The transaction remains subject to regulatory approvals, shareholder approval, and other customary closing conditions.

According to the companies, the acquisition is expected to be immediately accretive to Colony’s earnings per share, excluding one-time merger-related expenses.

Hovde Group, LLC served as financial advisor to Colony, while Performance Trust Capital Partners, LLC advised TC Bancshares on the transaction.

A conference call to discuss the merger is scheduled for Thursday, July 24, 2025, at 9:00 AM Eastern Time. Investors seeking deeper insights into Colony Bankcorp’s financials and growth prospects can access comprehensive analysis through InvestingPro’s detailed research reports, which include additional ProTips and extensive financial metrics.

In other recent news, Colony Bankcorp Inc. reported its first-quarter 2025 earnings, with revenue reaching $30 million, exceeding the projected $28.6 million. The company also met its earnings per share forecast, achieving an EPS of $0.38. These results align with analysts’ expectations, indicating stable financial performance for the quarter. While the earnings report did not mention any mergers or acquisitions, the financial outcomes were notable. The company’s revenue performance highlights its ability to surpass market forecasts. Additionally, no analyst upgrades or downgrades were reported in the recent period. Overall, these developments provide investors with a clearer understanding of Colony Bankcorp’s current financial standing.

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