The Bank of Virginia branch at 10501 Patterson Ave.
A North Carolina-based bank got a vote of confidence for its pending bid to buy its way further into the Richmond market.
Shareholders of Cordia Bancorp, the parent company of Midlothian-based Bank of Virginia, voted this week to approve the bank’s deal to be acquired by First Citizens Bank & Trust Co. from Raleigh.
The all-cash deal was first announced in May and will give Cordia shareholders $5.15 per share of Cordia stock they own. That amounts to a value of approximately $35 million, based on the number of outstanding Cordia shares.
The thumbs up from Cordia shareholders follows stamps of approval from the FDIC and the North Carolina Commissioner of Banks. The last major hurdle in front of the planned Aug. 31 closing date is an expected approval from the Virginia Bureau of Financial Institutions.
The deal does not require approval from First Citizens’ shareholders. The boards of both companies have already given it their blessing.
The Bank of Virginia brand and its six local branches will be eliminated in favor of the First Citizens flag and will join First Citizens two existing Richmond branches in Short Pump and Midlothian. First Citizens will also take on Bank of Virginia’s $353.8 million in total assets and $296.1 million in deposits.
Frank Holding Jr., First Citizens’ current CEO, will continue in that role in the combined company.
First Citizens spokeswoman Barbara Thompson said it has yet to be determined what role Cordia CEO Ed Barham might have in the company after the deal closes. Cordia’s founding CEO Jack Zoeller moved on from the company just prior to the deal to spin off its student lending business.
Once completed, the deal would be the third local bank M&A deal to close this year, joining Richmond-based Xenith Bank’s $175 million combination into Hampton Roads Bankshares, and Park Sterling Bank’s $87 million purchase of Glen Allen-based First Capital Bank, the latter of which led to a recent lawsuit between First Capital’s former CEO and Park Sterling.
At present, there are no other pending mergers or acquisitions involving local banks.
The Bank of Virginia branch at 10501 Patterson Ave.
A North Carolina-based bank got a vote of confidence for its pending bid to buy its way further into the Richmond market.
Shareholders of Cordia Bancorp, the parent company of Midlothian-based Bank of Virginia, voted this week to approve the bank’s deal to be acquired by First Citizens Bank & Trust Co. from Raleigh.
The all-cash deal was first announced in May and will give Cordia shareholders $5.15 per share of Cordia stock they own. That amounts to a value of approximately $35 million, based on the number of outstanding Cordia shares.
The thumbs up from Cordia shareholders follows stamps of approval from the FDIC and the North Carolina Commissioner of Banks. The last major hurdle in front of the planned Aug. 31 closing date is an expected approval from the Virginia Bureau of Financial Institutions.
The deal does not require approval from First Citizens’ shareholders. The boards of both companies have already given it their blessing.
The Bank of Virginia brand and its six local branches will be eliminated in favor of the First Citizens flag and will join First Citizens two existing Richmond branches in Short Pump and Midlothian. First Citizens will also take on Bank of Virginia’s $353.8 million in total assets and $296.1 million in deposits.
Frank Holding Jr., First Citizens’ current CEO, will continue in that role in the combined company.
First Citizens spokeswoman Barbara Thompson said it has yet to be determined what role Cordia CEO Ed Barham might have in the company after the deal closes. Cordia’s founding CEO Jack Zoeller moved on from the company just prior to the deal to spin off its student lending business.
Once completed, the deal would be the third local bank M&A deal to close this year, joining Richmond-based Xenith Bank’s $175 million combination into Hampton Roads Bankshares, and Park Sterling Bank’s $87 million purchase of Glen Allen-based First Capital Bank, the latter of which led to a recent lawsuit between First Capital’s former CEO and Park Sterling.
At present, there are no other pending mergers or acquisitions involving local banks.