Despite its pending sale, Cadence Financial Corp. in Starkville, Miss., has been ordered to submit a capital plan to the Federal Reserve Board.
The Nov. 17 written agreement between Cadence and the Fed was made public Tuesday. The agreement gives Cadence 60 days to file a plan, calls on it to serve as a source of strength to its bank and restricts it from paying dividends without regulatory approval.
Last month the $1.9 billion-asset Cadence agreed to be sold to Community Bancorp LLC, a bank holding company in Houston. The deal, which would pay Cadence's shareholders $2.50 per share, is expected to close in the first quarter.
The Fed also disclosed agreements with America's Community Bank in Blue Springs, Mo., Orient Bancorp. in San Francisco and Viking Financial Services Corp. in Seattle.
Those accords call for capital plans and restricted dividend payments.
