Miami

MIAMI-Local investors are expecting to sign a deal to purchase the troubled US Century Bank based here.

A letter of intent is in final negotiations and is expected to be signed this week with a local investor group headed by Jimmy Tate of Tate Capital and Sergio Rok of Rok Enterprises, according to U.S. Century President and CEO Carlos J. Davila.

The investor group would inject $50 million in capital into the bank, thus becoming majority owners, according to the Miami Herald. In addition, the group would pay about $90 million to buy certain loans, including all $98 million of U.S. Century’s non-performing loans. The deal would also provide for a negotiated amount to be repaid to the federal government for U.S. Century’s $50.2 million in TARP funds, Davila said.

“We’re recapitalizing, with a new group taking majority ownership,” Davila says, “and reigniting the institution to start lending again and be profitable.”

On Aug. 31, 2013, U.S. Century agreed to be sold to C1 Bank. However, C1 terminated the deal in December. The Tate-Rok group made an unsolicited purchase offer for the bank during the CI purchase talks and has now stepped in to acquire the bank shortly after that deal fell through. See story in the Miami Herald.