South Atlantic Bank to Acquire Eastover Investment Advisors LLC

Acquisition advances South Atlantic Bank's growth strategy with a strategic investment in wealth management capabilities.

MYRTLE BEACH, S.C., Oct. 28, 2026 /PRNewswire/ -- South Atlantic Bancshares, Inc. ("South Atlantic" or the "Company") (OTCQX: SABK), parent of South Atlantic Bank (the "Bank"), today announced that the Bank has entered into an agreement to acquire Eastover Investment Advisors LLC, a registered investment advisor doing business as Eastover Capital Management ("Eastover"). The proposed acquisition will further the Bank's growth strategy with the addition of wealth management services through Eastover's team of experienced financial professionals.

Commenting on the transaction, South Atlantic President R. Scott Plyler remarked, "We are thrilled to announce our partnership with the Eastover team. Our two companies have a long history of working together, and we are excited to combine forces to better serve both of our customer bases. By expanding our wealth management capabilities, we are strengthening our ability to serve clients across a broad base of financial needs, while continuing to build diversified and sustainable revenue sources to deliver long term franchise value."

Eastover had assets under management of approximately $430 million as of September 30, 2026. Under Will Mackey's leadership for the last fifteen years, Eastover has grown its client base throughout North Carolina and South Carolina. Will Mackey will continue to lead the Eastover team as it expands throughout the Bank's market areas as a separate division of South Atlantic Bank.

Reflecting on the transaction, Will Mackey, President of Eastover stated, "I began my career as a financial advisor working in a community bank, and I can't imagine a better fit for our company than partnering with South Atlantic. South Atlantic has been a client of Eastover for over 15 years, and South Atlantic President Scott Plyler is a life-long friend. The long tenured personal and professional relationship between our two companies, and shared vision to continue to grow Eastover creates a unique opportunity to realize the synergies of this combination. I could not be more excited about Eastover's long-term future as a result of this partnership."

The proposed transaction is expected to close during the fourth quarter of 2026, subject to the satisfaction of other customary closing conditions. Hunton Andrews Kurth LLP served as legal advisor to the Company and the Bank, and Alexander Ricks PLLC served as legal advisor to Eastover.

About South Atlantic Bancshares, Inc.

South Atlantic Bancshares, Inc. (OTCQX: SABK) is a registered bank holding company based in Myrtle Beach, South Carolina with approximately $2.0 billion in total assets as of September 30, 2026. The Company's banking subsidiary, South Atlantic Bank, is a full-service financial institution spanning the entire coastal area of South Carolina, and is locally owned, controlled and operated. The Bank operates twelve locations in Myrtle Beach, Carolina Forest, North

Myrtle Beach, Murrells Inlet, Pawleys Island, Georgetown, Mount Pleasant, Charleston, Bluffton, Hilton Head Island, Summerville and Beaufort, South Carolina. The Bank specializes in providing personalized community banking services to individuals, small businesses and corporations. Services include a full range of consumer and commercial banking products, including mortgage, and treasury management, including South Atlantic Bank goMobile, the Bank's mobile banking app. The Bank also offers internet banking, no-fee ATM access, checking, certificates of deposit and money market accounts, merchant services, mortgage loans, remote deposit capture, and more. For more information, visit www.SouthAtlantic.bank.

About Eastover Capital Management

Eastover Investment Advisors LLC, doing business as Eastover Capital Management, is a registered investment advisor based in Charlotte, North Carolina, and provides active portfolio management for individual and institutional clients throughout the country combining well-researched equity strategies with investment-grade bond allocations designed to provide diversified portfolios that minimize risk. Eastover Capital Management is an employee owned investment manager with approximately $430 million in assets under management as of September 30, 2026. For more information, visit www.eastovercapital.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains, among other things, certain statements about future events that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements with references to a future period or statements preceded by, followed by, or that include the words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "project," "outlook" or similar terms or expressions. These statements are based upon the current beliefs and good faith expectations of the Company's management team and are subject to significant risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company's control). These risks, uncertainties and other factors may cause the actual results, performance, and achievements of the Company to be materially different from the anticipated future results, performance or achievements expressed in, or implied by, the forward-looking statements. Factors that could cause such differences include, but are not limited to: (i) the expected impact of the proposed transaction between the Bank and Eastover and on the combined entities' operations, financial condition, and financial results; (ii) the businesses of the Bank and Eastover may not be combined successfully, or such combination may take longer to accomplish than expected; (iii) the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the parties to terminate the definitive agreement entered into between the Company, the Bank and Eastover; (iv) the possibility that the anticipated benefits of the proposed transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of Eastover or as a result of the strength of the economy and competitive factors in the areas where the Company and Eastover do business; (v) operating costs, customer loss and business disruption following

the proposed transaction, including adverse effects on relationships with employees, may be greater than expected; (vi) regulatory approvals of the proposed transaction may not be obtained, or adverse conditions may be imposed in connection with regulatory approvals of the proposed transaction; (vii) the impact on us or our customers of a decline in general economic conditions, and any regulatory responses thereto; (viii) slower economic growth rates or potential recession in the United States and our market areas; (ix) uncertainty or perceived instability in the banking industry as a whole; (x) increased competition for deposits among traditional and nontraditional financial services companies, and related changes in deposit customer behavior; (xi) the impact of changes in market interest rates, whether due to a continuation of the elevated interest rate environment, further increases in interest rates, or future reductions in interest rates and a resulting decline in net interest income; (xii) the persistent inflationary pressures in the United States and our market areas; (xiii) the uncertain impacts of current and future monetary policies of the Federal Reserve; (xiv) a deterioration of credit quality; (xv) changes in unemployment rates in the United States and our market areas; (xvi) adverse changes in customer sentiment, spending, borrowing and savings habits; (xvii) elevated asset prices; (xviii) declines in housing and commercial real estate values and prices; (xix) a deterioration of the credit rating for the United States long-term sovereign debt or the impact of uncertain or changing political conditions, including federal government shutdowns and uncertainty regarding United States fiscal debt, deficit and budget matters; (xx) cyber incidents or other failures, disruptions or breaches of our operational or security systems or infrastructure, or those of our third-party vendors or other service providers, including as a result of cyber-attacks; (xxi) severe weather, natural disasters, military conflicts (including the conflicts in the Middle East, the possible expansion of such conflicts and potential geopolitical and economic consequences), acts of terrorism, geopolitical instability, domestic civil unrest or other external events, including as a result of in the policies of the current U.S. presidential administration or Congress; (xxii) the impact of tariffs, sanctions and other trade policies of the United States and its global trading counterparts and the resulting impact on the Company and its customers; (xxiii) competition and market expansion opportunities; (xxiv) changes in non-interest expenditures or in the anticipated benefits of such expenditures; (xxv) the receipt of required regulatory approvals; (xxvi) changes in tax laws; (xxvii) out ability to keep pace with changes in, and the risks related to the development, implementation, use and management of, emerging technologies, including digital assets, artificial intelligence and machine learning; (xxviii) potential costs related to the impacts of climate change; (xxix) current or future litigation, regulatory examinations or other legal and/or regulatory actions; (xxx) our ability to successfully make and integrate acquisitions, which may include regulatory approvals and conditions, and our ability to recognize the expected benefits and synergies of our completed acquisitions; (xxxi) changes in accounting principles and standards, including those related to loan loss recognition under the current expected credit loss, or CECL, methodology; and (xxxii) changes in applicable laws, regulations or policies in the United States, including those affecting our business, operations, pricing, products or services.

These forward-looking statements are based on current information and/or management's good faith belief as to future events. Although the Company believes that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. Therefore, the Company can give no assurance that the results contemplated in the forward-looking statements will be realized. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release. The inclusion of this forward-looking information should not be

construed as a representation by the Company or any person that the future events, plans, or expectations contemplated by the Company will be achieved. All subsequent written and oral forward-looking statements attributable to the Company or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements above. Any forward-looking statements contained in this press release are made as of the date hereof, and the Company does not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statements are made, except as required by applicable law. All forward-looking statements, express or implied, included in the press release are qualified in their entirety by this cautionary statement.

Available Information

The Company maintains an Internet web site at www.southatlantic.bank/about-us/investor-relations. The Company makes available, free of charge, on its web site the Company's annual meeting materials, annual reports, quarterly earnings reports, and other press releases. In addition, the OTC Markets Group maintains an Internet site that contains reports, proxy and information statements, and other information regarding the Company (at www.otcmarkets.com/stock/SABK/overview).

The Company routinely posts important information for investors on its web site (under www.southatlantic.bank and, more specifically, under the Investor Relations tab at www.southatlantic.bank/about-us/investor-relations). The Company intends to use its web site as a means of disclosing material non-public information and for complying with its disclosure obligations under the OTC Markets Group OTCQX Rules for U.S. Banks. Accordingly, investors should monitor the Company's web site, in addition to following the Company's press releases, OTC filings, public conference calls, presentations and webcasts.

The information contained on, or that may be accessed through, the Company's web site is not incorporated by reference into, and is not a part of, this press release.

No Offer or Solicitation

This communication does not constitute an offer to sell, or a solicitation of an offer to buy, any securities. Neither the U.S. Securities and Exchange Commission nor any other regulatory body has approved or disapproved of the securities of the Company or passed upon the accuracy or adequacy of this press release. Any representation to the contrary is a criminal offense.

Member FDIC

SOURCE South Atlantic Bank