CAB Financial merged into Park National Corporation in a $141.8m transaction.

CAB Financial, the holding company for Carolina Alliance Bank that provides personal and business banking products and services, merged into Park National Corporation, a $7.5bn bank holding company headquartered in Newark, Ohio, in a $141.8m transaction. Under the terms of the merger agreement, Park will issue approximately 1.03m shares and $28.4m to acquire CAB. Specifically, CAB shareholders will have the right to receive 0.1378 shares of Park common stock and $3.80 in cash for each share of CAB common stock owned, with total consideration to consist of approximately 80% stock and 20% cash. Based upon Park's 20-day average closing price of $110.34 through September 7, 2018, the implied per share price is $19.00. Among the many benefits of the merger, Carolina Alliance Bank gains greater lending capacity through its partnership with Park, an increasingly important component of its service to commercial and small business customers. It also gains the potential to broaden its offerings to include other financial services not currently available to its customers.