Bank Services
Strategic and Capital Planning
Although numerous professionals may assist the client with strategic issues, Carson Medlin focuses on managing the equity capital base and maximizing the value of that investment. Our emphasis in the planning role, therefore, is on the value of the client bank from the owners' perspective. It is from this perspective that we evaluate the impact of strategic choices on existing shareholders as well as the implications for attracting additional capital and affiliating with other institutions. We may consider stock and cash dividend policies as well as share repurchases, including going private transactions and the election of S-Corp tax status. In some cases we may use the firm’s sophisticated resources to assess the demographic and competitive characteristics of potential new markets.
Capital Raising
The firm may participate in our clients’ initial offerings or secondary issuances of:
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Common stock
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Preferred stock
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Long-term debt , such as subordinated debt
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Hybrid instruments, such as Trust Preferred Securities
In private offerings, CMC acts as placement agent in pricing and structuring the securities and arranging for their purchase by one or more accredited investors, either individuals or institutions.
In the public offerings of traded clients, the firm organizes a syndicate of fellow member NASD brokerage firms (the selling group) and manages or co-manages the underwriting.
CMC also assists smaller publicly-traded clients in improving the aftermarket performance of their shares. The performance objectives may be better valuations, higher trading volume, and increased attention of investment analysts. We can bundle together a number of services to create a customized “stock performance enhancement program,” which may include equity research coverage, improved investor relationships with retail and institutional investors, and upgrading of exchange listings.
Equity Research
High quality equity research dedicated to financial institutions is a long-standing tradition at The Carson Medlin Company. We believe that our often-imitated research, which is the foundation of all of our financial advisory and valuation services, is the best in the business.
The firm’s Research Division also produces the following regional quarterly statistical reviews:
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Southeastern Independent Bank Review
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Southwestern Independent Bank Review
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Western Independent Bank Review
CMC’s Research Division also produces periodic reports, called Community Bank Bulletins, on a number of individual financial institutions that they believe are unique and offer good long-term investment potential. See Research Publications for more information.
Valuation and Appraisal Division
The firm’s Valuation Division values the shares of closely-held or thinly-traded clients for the purposes of stock offerings, share repurchases, going private transactions, officer and director incentive stock option plans, employee stock ownership plans (ESOPs), estate and tax settlements, dissenting shareholder matters, and for general corporate planning purposes.
For clients that are active acquirors of banks , our valuation professionals provide Core Deposit Intangible (CDI) valuations for the purposes of SFAS 141 compliance. The firm’s CDI valuations are based on precise “lifing” studies for each core deposit class based on actual deposit account data, rather than more general industry averages. We believe this method produces a superior CDI valuation product that can later be used for future testing for impairment to comply with SFAS 142.
The firm’s Valuation and Appraisal Division also provides Identifiable Intangible Asset valuations to support the acquisition of nonbank entities.