32-1-383. Acquisition of financial institution by bank holding company not located in this state -- limitations. (1) A bank holding company with headquarters in another state may acquire control of a bank located in this state through acquisition of a financial institution if the bank holding company complies with 32-1-381 through 32-1-384. The bank to be acquired must:
     (a) have been conducting business for a continuous period of at least 5 years prior to the effective date of the acquisition; or
     (b) be organized for the purpose of purchasing the assets of a bank that has conducted business for a continuous period of at least 5 years prior to the acquisition.
     (2) A bank holding company may acquire control of a bank located in this state by purchase of stock in or by merger with a bank holding company.
     (3) (a) Subject to the provisions of subsection (3)(b), a bank, a bank holding company, or a subsidiary of the bank or bank holding company may not acquire control of a bank located in this state if the bank, bank holding company, or subsidiary would directly or indirectly control more than 18% of all deposits in federally insured banks, savings associations, and credit unions located in this state.
     (b) On October 1 of each year, the percentage limitation contained in subsection (3)(a) must be increased by 1% until the limit reaches 22%.
     (4) A bank holding company that is not located in this state or that does not have headquarters in this state may not acquire control of a bank located in this state if the acquisition of control would result in the aggregate direct or indirect control, by all bank holding companies that do not have headquarters in this state, of more than 49% of all deposits in all federally insured banks and savings associations located in this state.
     (5) The determination of the limits contained in subsections (3) and (4) must be based upon public reports filed with the appropriate regulatory agency as of the December 31 preceding the submission to the appropriate federal banking regulatory agency of the application seeking prior approval of the acquisition of control of the bank.

     History: En. Sec. 3, Ch. 401, L. 1993; amd. Sec. 7, Ch. 265, L. 1995.