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Community Bancorp Announces $1 Billion Capital Raise

HOUSTON, Nov. 9, 2010 – Community Bancorp LLC, a Houston, Texas-based bank holding company established to acquire, stabilize and operate failed or distressed U.S. banks, announced today that it has completed its capital raise and now has committed equity capital in the amount of $1 billion. The majority of Community Bancorp’s (CBC) investors are public and private pension funds, foundations and endowments. CBC recently announced an agreement to acquire Cadence Financial, a $1.8 billion bank with operations in five Southern states.

“We are pleased to have attracted an exceptional group of investors who are committed to helping rebuild banks in this country,” said Paul B. Murphy, Jr., CBC’s chief executive officer. “The need for additional long-term capital in the U.S. banking system and the unique market timing enabled us to quickly bring together a talented team of directors, managers and investors who understand the role of community banks in building a strong economy. Our leadership’s extensive background in acquiring and managing financial institutions, along with $1 billion of capital commitments, firmly positions CBC to pursue a wide variety of acquisition opportunities.”

Murphy continued, “We intend to pursue situations where we can partner with top local banking talent to transform distressed banks into high-performing institutions. We plan to provide fresh capital, new products, best in class technology and excellent management to benefit the customers we serve. The ultimate objective is to provide local customers with progressive banking services from banks with strong balance sheets.”

“In many cases, these banks have long been an asset to the people, businesses and communities they serve,” Murphy remarked. “In rebuilding them, CBC will position the banks to make sound loans and facilitate community growth.”

Murphy has assembled a hard working and dedicated management team, steeped in successful community banking experience. The team has participated in numerous successful bank acquisitions and mergers. Prior to CBC, Murphy served as CEO and director of Amegy Bank, a Texas-based bank that he co-founded in 1990 and helped grow from less than $100 million to more than $11 billion in assets. It was sold to Zions Bancorporation in 2005. Amegy currently operates 85 banking centers in Houston, Dallas and San Antonio.

CBC’s management team also includes: John McWhorter, former executive vice president and chief financial officer of Bank of Houston and Republic National Bank and senior vice president and controller of Amegy Bank; Stanley D. Levy, former chief operating officer, chief financial officer and partner of The Morgan Group, Inc. and a managing director at JP Morgan Chase, and Frank D. (Buddy) Cox, Jr., former executive vice president and chief information officer at Amegy Bank and founder of three successful start-up companies.

CBC’s experienced Board of Directors includes: William B. Harrison, Jr., former chairman and CEO of JPMorgan Chase; Robert K. Steel, former president and CEO of Wachovia Corporation, Under Secretary of the U.S. Treasury for Domestic Finance and vice chairman of Goldman Sachs; Marc J. Shapiro, former vice chairman of JPMorgan Chase; Scott M. Stuart, founding partner, Sageview Capital LP; Ambassador J. Richard Fredericks, former Senior Managing Director at Montgomery Securities and former U.S. Ambassador to both Switzerland and Liechtenstein. Murphy also serves as a director.

Sandler O’Neill + Partners, L.P. served as the offering manager. Wachtell, Lipton, Rosen & Katz served as legal counsel to CBC, and Deloitte LLP was the company’s tax and accounting advisor.

About Cadence Bank

Cadence Bank, N.A., based in Birmingham, Ala., is a $5.7 billion bank with more than 100 locations in Alabama, Florida, Georgia, Mississippi, Tennessee and Texas. Backed by 126 years of financial expertise, Cadence serves commercial and consumer clients with a full range of innovative banking and financial solutions designed to keep pace with their lives. These products and services include commercial and consumer banking, small business banking, treasury management, international banking, specialized lending, commercial real estate, wealth management, investment and trust services, financial planning, retirement plan management, business and personal insurance, consumer loans, mortgages, home equity lines and loans, and credit cards. Cadence Bank and its affiliates, Linscomb & Williams and Cadence Insurance Agency, are wholly owned subsidiaries of Houston-based Cadence Bancorp, LLC. Additional information about Cadence Bank is available at cadencebank.com. Cadence Bank, N.A. Member FDIC. Equal Housing Lender.


Contact Information: 


Danielle Kernell


Cadence Bank, N.A.
713-871-4051 direct | 713-392-7709 mobile

danielle.kernell@cadencebank.com




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