Bank merger gets FDIC approval

LAKEWOOD RANCH — Community Bank & Co. received approval from the Federal Deposit Insurance Corp. to move forward with its acquisition of Pinellas Park-based First Community Bank of America.

In February, Community agreed to buy FCBA for $10 million in cash. The deal is expected to close June 1, and it will yield a single bank with more than $700 million in assets and 17 branch locations throughout the Gulf Coast.

Beyond that acquisition price, Community Bank is preparing to make a sizable cash investment to kick start the new bank's business growth, through its holding company CBM Florida Holding Co.

“We are investing over $30 million in this transaction to preserve jobs and to maintain our status as a highly capitalized institution with significant lending fire power,” explains Trevor Burgess, CBM CEO, in a statement.

The two banks received merger approval from the state of Florida several weeks ago.

Community Bank & Co. recently exceeded the $300 million-in-assets mark, and began 2011 with its fourth-consecutive profitable quarter.