TowneBank's $120M Acquisition of Village Bank Approved
Deal News | Mar 11, 2025 | EIN
The acquisition of Village Bank and Trust Financial Corp by TowneBank has been officially approved by the Virginia State Corporation Commission and the FDIC. Announced in September 2024, the deal, valued at $120 million, is expected to close in early April. Post-merger, TowneBank will maintain its identity while incorporating Village Bank's nine branches into its operations, boosting its presence across Central and Eastern Virginia and North Carolina. TowneBank, founded in 1999, is set to enhance its financial stature with total assets approximating $17.8 billion, $14.9 billion in deposits, and $12.1 billion in loans. Currently the second largest bank in Virginia, TowneBank had assets of $17.25 billion as of December 31, 2024. The integration will see Village Bank locations operating under TowneBank until mid-June, at which point systems will be unified.
Sectors
- Banking and Financial Services
- Regulatory Compliance
Geography
- United States – The article discusses a merger taking place within the U.S. financial services sector, specifically affecting banks located in Virginia and North Carolina.
- Virginia – The central activity of the article is focused on Virginia, where TowneBank and Village Bank are both headquartered, and where the regulatory approvals were obtained.
- North Carolina – TowneBank has a significant presence in North Carolina, which is expanded upon following the acquisition.
Industry
- Banking and Financial Services – This industry classification is relevant because the article discusses the acquisition of a bank by another bank, involving significant financial transactions and strategic business growth for TowneBank.
- Regulatory Compliance – The importance of regulatory approvals by the FDIC and Virginia State Corporation Commission highlights the role of regulatory compliance in the banking and finance sector.
Financials
- 120000000 – The acquisition deal value for TowneBank's purchase of Village Bank.
- 17800000000 – The total assets of the combined bank post-merger.
- 14900000000 – The total deposits of the combined bank post-merger.
- 12100000000 – The total loans pending of the combined bank post-merger.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| TowneBank | Bidding Company | Company | TowneBank is the acquirer in the transaction, seeking to expand its market presence in Virginia and North Carolina. |
| Village Bank and Trust Financial Corp. | Target Company | Company | Village Bank is the target company being acquired by TowneBank for $120 million. |
| FDIC | Regulatory Body | Government | The FDIC is one of the regulatory agencies that approved the acquisition. |
| Virginia State Corporation Commission | Regulatory Body | Government | This commission is responsible for approving the merger in Virginia. |