Colony Bankcorp Shareholders Approve $163 Million First Reliance Bancshares Merger

Colony Bankcorp, Inc. and First Reliance Bancshares, Inc. said on October 15, 2026 that shareholders of both companies approved their merger, a combined stock-and-cash transaction valued at approximately $163 million. The lead report said the companies expect to close in the fourth quarter of 2026.

Colony Bankcorp is the holding company for Colony Bank, a community bank founded in Fitzgerald, Georgia in 1975 that operates locations throughout Georgia and across North Florida. First Reliance Bancshares is the holding company for First Reliance Bank, headquartered in Florence, South Carolina, with $1.1 billion in assets.

Colony's $163 Million First Reliance Deal

Colony agreed to acquire 100% of First Reliance's stock in a transaction valued at approximately $163 million, structured as 80% stock and 20% cash, according to company records. The two companies announced the definitive agreement on June 24, 2026.

The shareholder votes followed the receipt of all necessary regulatory approvals, which the companies said completed the required approval process. The closing remains subject to the satisfaction of customary closing conditions.

"The shareholder approvals bring us one step closer to welcoming First Reliance to Colony and expanding our presence across the Southeast," said Heath Fountain, Colony's Chief Executive Officer. Rick Saunders, Founder and Chief Executive Officer of First Reliance, said the bank has been built over the past 27 years and that its legacy will carry forward as part of Colony.

Upon completion, Colony is expected to have approximately $5 billion in total assets, $4 billion in total deposits, and $3.2 billion in loans, with an expanded banking presence across Georgia, South Carolina, and Florida.

Colony's Earlier Deals and Scale

Colony completed its merger with TC Bancshares, Inc. effective December 1, 2025, a cash or stock exchange transaction that increased Colony's assets to approximately $3.7 billion and expanded its presence in Georgia and Florida, according to akta.pro company records. In April 2025, Colony acquired The Ellerbee Agency, an Allstate-appointed property and casualty insurance agency with two Georgia locations and 11 agents led by Sean Ellerbee, integrating it into its Colony Insurance subsidiary.

Colony's post-merger scale with First Reliance is projected at approximately $5 billion in total assets, $4 billion in deposits, and $3.2 billion in loans.

Colony's Path to the First Reliance Vote

Colony reported second quarter 2026 net income of $10.9 million, or $0.51 per diluted share, up 36% from $8.0 million in the second quarter of 2025, driven by net interest margin expansion to 3.52% and a 20% increase in noninterest income, according to Stock Titan. On July 23, 2026, Seeking Alpha reported that Colony Bank targeted disciplined pricing as 2026 loan growth could slip slightly below 8% while the First Reliance close remained set for the fourth quarter.

Colony pays a $0.12 per share dividend with a 2.35% yield, up 4.3% annually and increased five times over five years, with a payout ratio of 25%, according to Yahoo.

First Reliance's Expected Closing

The companies expect the merger to close in the fourth quarter of 2026, subject to the satisfaction of customary closing conditions.