The following information is as tight and refined as I can get it for you:
"We just finished up a single branch bank for $10M to an active investor. With the upcoming stock vote (merger), he is â"very happy' with the acquisition and what his future cash flow will be."
I have a (limited) power point that I can send to you. If interested, I can email the power point to you. I have permission to show this information to my contacts and associates.
"Our bank acquisition project is underway to use a smaller regional bank as a 'platform' institution to purchase additional banks that have: a) extreme profit potential or b) has been targeted by the FDIC for takeover. I'm sure you know the FDIC has over 800 banks on its 'watch list' and some of our FDIC contacts approached us with the idea of stabilizing these banks. In this process we acquire these smaller institutions along with all their banking services and real estate assets. How we manage and market these assets will provide investment return for the bank and its active investors. We have positioned ourselves to oversee these activities and protect our investors.
In our model we create a bank holding company to acquire majority interest of these institutions using partnerships. By using multiple investors we can expedite the SEC/OCC qualifying process with limited disclosures. We then obtain a National Charter (unless one already exists) which enables us to purchase other banks in all 50 states. Our Bank Holding Company already has passive investors committed with $375M in capital. This capital infusion will create the opportunity to build a $4B loan portfolio in â"The Bank'. After acquisition, operations continue and the bank provides:
1. Electronic Banking: ongoing fees collected from ATM's nationwide.
2. Offshore Banking: fees from wire transfers and money servicing accounts.
3. Credit Card Servicing: We will create $1M in monthly fees servicing $100M in credit card accounts.
4. Mortgage Servicing: We will create $1.5M in monthly fees for the servicing $100M in home loans.
5. Other Ancillary Services, of which will all create revenue for the bank.
Our company is providing the management team(s) for investor funds, acquisition, asset management, bank operations and liquidation services during our holding period(s) for the banks we purchase. This is not a responsibility of the active investors. Our advisors also have a strong relationship with FDIC representatives and ensure our structure is in compliance with Federal Bank Regulations. Several members are military veterans which will provide priority consideration in dealing with government programs.
Using this platform model we expect Capital Appreciation and increased shareholder equity to the investors in the holding company. This (and the other) Banks could be sold at any time in the future for a profit to another regional bank if private and in the open market if public. A few other caveats to this model:
Ø Advantageous position of being able to acquire bank owned real estate (at a discount) before it is offered to outside sources
Ø Our â"platform' bank will create a 'National Charter', allowing us to operate in all 50 states and overseas locations
Ø We use our 'name brand' to instill confidence in the local communities, ie: The Bank of "YOUR CITY"
Our company, Community Progress Investors (CPI) is certified purchasers of bulk REO properties from Wells Fargo, Fannie Mae and others. We purchase these tapes and have the resources to dispose of these properties for a profit. These can be made available to the holding company investors. We have expert Advisors available to assist with the bank analysis and rely on them for their proposals in structuring the bank acquisitions, including:
1. A very efficient and tenacious team.
2. Extensive management and banking experience
3. Personnel who understand compliance with federal regulations (minimal disclosure using partners)
4. Ongoing relationship with FDIC officers.
The analogy I can provide to a Real Estate owner and investor: this is similar to purchasing a building:
a. purchase the building at a discount with cash
b. complete all fix up and rehabilitation
c. bring new management, change the name, instill confidence in the local area
d. improve the tenant profile(s), and
e. hold for cash flow or sell the asset for a profit.
This is same principle except we are purchasing smaller banks that have suffered during our recent economic slump. The regulators are cooperative with this model, the banking sector is appreciative and opportunities like this will no longer be available in another 36 months. We are excited we will be able to help stabilize the banking sector and contribute to our economic turnaround.
We are in negotiations for the next target bank and can provide the details and projected returns to the active investors and the various ways to make these transactions profitable. We will allow positions to be acquired for $250,000 and higher. We would be happy to provide specifics and can set conference call(s), video chat(s) and/or personal presentation(s) for yourself or colleagues."
If you or any of your colleagues/contacts have any interest in this, then send me a pm for the contact information of the holding company lead partner, website link and the power point.
Scott
