First Federal Bank Acquires Mortgage Division From BNC National Bank

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Jun 16, 2023, 16:30 ET

LAKE CITY, Fla., June 16, 2023 /PRNewswire/ -- First Federal Bank announces the acquisition of assets and employees of BNC National Bank's mortgage division and welcomes the new team. The transaction closed today.

The new team will augment the legacy First Federal markets serving customers from locations in Overland Park, Kansas, Moline, Illinois and Bismarck, North Dakota locations and in the Phoenix, Arizona market. First Federal Bank originates loans nationwide with mortgage processing centers in Georgia, Wisconsin and Florida.

As a community-based mutual institution headquartered in Lake City, Florida, the bank is owned by its customers rather than stockholders, and has 25 branches in the Southeast and operations in the Midwest. "With the acquisition, First Federal gains a nationwide consumer direct mortgage platform and offers the benefits of community banking, customer service, and stability to the expanded customer base in new markets," says John Medina, President and CEO of First Federal Bank. "Since 1962, it has been our mission is to provide solutions from a financially stable institution. This acquisition expands our commitment to customers and the residential mortgage sector. We look forward to serving the new mortgage customers with the same excellence they enjoyed from the BNC team."

The acquisition of BNC National Bank's mortgage division enables First Federal to better serve the customers of both organizations, offering additional technology tools and an expanded product offering. "We welcome the new employees to our Residential Lending Team and look forward to helping more customers enjoy the benefits of home ownership" says Paul Ottendorf, Division President.

The new customers will transition to a First Federal brand immediately. "BNC National Bank's mortgage division team looks forward to offering new and enhanced products to our customers as First Federal Bank Mortgage Lenders" says Doug Brendel, President Mortgage Banking. With the expanded product offering and strong digital tool set, First Federal will continue to be lauded as one of the best small banks.

About First Federal Bank

First Federal Bank is a community-based bank offering consumer and commercial banking solutions, services, and loans through banking offices in Florida's Panhandle, North Central and East Florida, and coastal South Carolina. Mortgage, SBA and USDA customers are served through lending offices across the Southeast and Midwest. First Federal is headquartered in Lake City, Florida with assets totaling over $3.6 billion. First Federal has received a "5-Star, Superior" financial rating from BauerFinancial, Inc., of Coral Gables, Fla. for more than two decades and was recognized by Newsweek as "Best Small Bank in Florida" in 2020, 2021, 2022 and 2023. For more information, visit www.ffbf.com.

This news release may include "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of First Federal. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management are generally identifiable by the use of words such as "expect," "believe," "anticipate," "plan," "intend," "estimate," "may," "will," "would," "could," "should," or other expressions. We caution readers that these forward-looking statements, including, without limitation, those relating to the completion of the acquisition of BNC's mortgage business, our future business prospects, revenues, working capital, liquidity, capital needs, interest costs and income, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements due to several important factors. These factors include, but are not limited to: risks of loans and investments, including dependence on local and regional economic conditions; competition for our customers from other providers of financial services; possible adverse effects of changes in interest rates, including the effects of such changes on derivative contracts and associated accounting consequences; risks associated with our acquisition and growth strategies; and other risks which are difficult to predict and many of which are beyond our control. In addition, all statements in this news release, including forward-looking statements, speak only of the date they are made, and First Federal undertakes no obligation to update any statement in light of new information or future events.

SOURCE First Federal Bank