Community First Bancorporation Announces Completion of Merger with SFB Bancorp, Inc.

Community First Bancorporation (OTC: CFOK) (“Community First” or the “Company”), the parent company of Community First Bank, announced the completion of the acquisition of SFB Bancorp, Inc. (OTC: SFBK) (“SFB”), and its wholly-owned subsidiary, Security Federal Bank, effective after the close of business on March 19, 2021. SFB was merged with and into Community First immediately followed by the merger of Security Federal Bank with and into Community First Bank.

Under the terms of the definitive agreement, shareholders of SFB will receive cash of approximately $8.3 million or $33.00 for each share of common stock held by them. In addition, pursuant to the terms of the Merger Agreement, immediately prior to the effectiveness of the merger, SFB paid a special cash dividend on its outstanding common
stock to its shareholders of approximately $2.8 million or $11.00 per share.

The combined company will have approximately $600 million of assets and 12 offices serving South Carolina, North Carolina and Tennessee. The combined bank will conduct business as “Community First Bank” after completing the systems integration scheduled for July 2021.

Community First was advised by D.A. Davidson & Co. as financial advisor and Brooks, Pierce, McLendon, Humphrey & Leonard, LLP, as legal counsel. Janney Montgomery Scott LLC served as SFB’s financial advisor and Jones Walker LLP, Washington, DC served as SFB’s legal counsel.

Community First Bancorporation is the parent holding company of Community First Bank, a South Carolina commercial bank, which operates ten full-service banking offices including eight in Seneca, Walhalla, Anderson, Williamston, Westminster and Greenville, SC and two in Charlotte and Dallas, NC.

Community First Bank also operates loan production offices in Concord and Waynesville, NC. Its subsidiary, SeaTrust Mortgage, operates offices in Wilmington, Jacksonville, Charlotte and Greensboro, NC, Jacksonville and Orlando, FL and Nashville, TN. Community First’s common stock is traded on the OTC Markets under the symbol “CFOK.”