SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Act of 1934
Date of Report (Date of earliest event reported): June 11, 1996
CENTURA BANKS, INC.
(Exact name of registrant as specified in charter)
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North Carolina 1-10646 56-1688522
(State of Incorporation) (Commission File Number) (IRS Employer Identification No.)
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134 North Church Street, Rocky Mount, North Carolina 27804
(Address of principal executive office) (Zip code)
Registrant's telephone number, including area code: (919) 977-4400
N/A
(Former name or former address, if changed since last report)
Exhibit Index on Page 4.
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Item 2. Acquisition or Disposition of Assets:
Centura Banks, Inc. ("Centura") announced on June 11, 1996 that it had entered
into an agreement to purchase 49 percent of First Greensboro Home Equity,
Inc. ("First Greensboro"). First Greensboro is a mortgage company with its
principal headquarters in Greensboro, North Carolina and operates 31 offices
in 10 states. First Greensboro will retain controlling interest of the
company. The closing date of the transaction will occur after all
regulatory approvals have been obtained and subsequent waiting periods
have expired. The closing is expected to occur in August of 1996. A press
release is attached as Exhibit 99.
Item 7. Financial statements and Exhibits.
The exhibit listed in the Exhibit Index is filed herewith as part of this
Current Report on Form 8-K.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
CENTURA BANKS, INC.
Registrant
Date: June 14, 1996 By: /s/ Michael R. Hilton
Michael R. Hilton
Controller
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EXHIBIT INDEX
Sequential
Page
Exhibit Description of Exhibit Number
99 Press release dated June 11, 1996 5
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For Immediate Release
June 11, 1996
Contacts: Ron Johnson Buddy Jordan
Centura First Greensboro
(919) 977-4979 (910) 855-4925
CENTURA BUYS MAJOR STAKE IN GREENSBORO MORTGAGE COMPANY
ROCKY MOUNT, N.C.--Centura Banks Inc. (NYSE:CBC) and First Greensboro
Home Equity Corp. have reached an agreement for Centura to purchase 49
percent of the Greensboro, North Carolina based mortgage company. First
Greensboro, which has 31 offices in 10 states, will retain controlling
interest of the company.
First Greensboro is a privately owned company specializing in alternative
equity lending for homeowners and creative financing for home buyers. It
originates, purchases and sells residential home equity loans secured primarily
by first liens. Its clients are people whose borrowing needs are generally
not met by traditional financial institutions. The company's profits and
locations have grown significantly since it was started in 1989.
"This is a great opportunity for us to diversify our income stream," said
Robert R. Mauldin, chairman and CEO of Centura. "First Greensboro is a
highly profitable, well-managed company in a growing market niche. We look
forward to being part of their future success."
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"We are pleased that Centura is willing to invest in the future of our
company," said First Greensboro President Buddy Jordan, who will continue
to lead the company. "This alliance gives us all the ingredients needed to
continue our growth plans."
Neither party disclosed terms of the deal, although Centura said the
investment is expected to begin adding to its bottom line in the first year.
Mauldin said Centura is pursuing other opportunities to diversify sources
of revenue and add value for shareholders.
First Greensboro has offices in the Carolinas, Virginia, Texas, Florida,
Arkansas, Tennessee, Georgia, Missouri and Oklahoma. The company plans to
open five more offices by the end of 1996, including locations in Illinois
and Louisiana.
Centura, with assets of $5.5 billion, offers a full range of banking,
investment, insurance and trust services to individuals and businesses
through 154 financial centers and more than 200 ATMs in North Carolina.
The company recently announced an agreement to open 33 financial centers
in Hannaford supermarkets in the Carolinas and Virginia by the end of 1997.
Centura is still the only North Carolina bank offering online banking and
bill payment services through Quicken and Microsoft Money, the leading
personal finance software packages.
