A proposed new bank in Highlands took another step forward when the Federal Deposit Insurance Corporation granted conditional approval to Highlands Banking Company on June 2.
The FDIC’s approval signifies that Highlands Banking Company has satisfied the federal regulatory and policy requirements for conditional approval. The proposed bank’s charter application is pending conditional approval from the North Carolina Office of the Commissioner of Banks. Once all required capital and other preopening requirements are met, Highlands Banking Company can be granted final approval to open by the FDIC and the NCCOB.
“We are pleased that the FDIC has granted us conditional approval,” said Robby Roberts, organizer and proposed Chairman and CEO of Highlands Banking Company. “It gets us one step closer to our goal of opening a ‘uniquely local’ bank for the citizens and businesses of the Highlands area. We anticipate raising the preliminary capital required by the NCCOB over the summer months, and once they grant us conditional approval, we can begin to move forward with our plans to open the bank later this year. We feel confident that all requirements for final approval will be achieved.”
Organizers of the new bank made application to the FDIC and state regulators in October 2020. Due to the ongoing COVID-19 pandemic the process to receive conditional approval has been a slow trek.
“The positive initial response from the community was interrupted by the prolonged pandemic and economic uncertainty,” said Tony Potts, proposed bank president. “With the return of life to normal this spring and summer and the economic upswing for businesses as they reopen and welcome back customers, we are already seeing the initial excitement for a new local bank returning.”
The next step in the proposed bank’s opening process is to raise enough capital to meet federal requirements. Potts noted that the amount needed is approximately $13.2 million, and organizers plan to raise that amount by offering common stock in Highlands Banking Company.
“The minimum initial investment is $25,000, but the bank reserves the right to accept smaller investment amounts if necessary,” Potts said. “We hope to have the funds raised by the end of the summer.”
The offering of common stock of Highlands Banking Company will only be made through the means of an offering circular. Copies of the offering circular may be obtained from Potts, by email at tpotts@highlands.bank or by phone at 828-526-0300 or Lee Bradley, by email at lbradley@communitybankcapital.com or by phone 770-310-9574 or by writing to Highlands Banking Company (proposed), attention: Tony Potts, President (proposed), P.O. Box 2079, Highlands, NC 28741.
The stocks offered by the bank are not deposits and will not be insured or guaranteed by the FDIC, or any other federal or state government agency. The bank’s common stock is subject to investment risk, including possible loss of principal.
Once the initial equity is raised, the bank can apply for final approval on the state and federal levels. That approval will allow the bank to open its first branch and offices at 670 N. 4th Street in Highlands, which is currently the base of operations for the bank’s organizers.
“We were pleased to be able to secure this site for our new bank,” Potts said. “It is in an excellent location and allows us to conveniently visit with people in our community who might have questions about us or be interested in investing in a local bank.”
Building owner Dan McNellis confirmed that the bank will occupy the first floor of the newly remodeled building at 670 N. 4th Street and the upper floor will house short-term residential/vacation rentals.
The proposed management team of Highlands Banking Company includes Robby Roberts as Chairman and CEO, Potts as President, Susan Gibbs, Chief Operating Officer, and Deanna Mote, Chief Financial Officer. Proposed board members include Jeffery Adams, Melissa Delany, Ted Gammill, Jimmy Garner, Anita Lupoli and Jim Tate.
For additional information about the proposed bank visit www.highlands.bank.