Blue Ridge Bankshares merges with FVCBankcorp to create 4th largest Virginia-headquartered community bank
By Pavithra R
Blue Ridge Bankshares, the parent company of Blue Ridge Bank, National Association, and FVCBankcorp, the parent company of FVCbank, jointly announced that they have entered into a definitive agreement pursuant to which the companies will combine in an all-stock merger of equals to create the fourth-largest Virginia-headquartered community bank based on assets.
The partnership expects to create greater scale to drive growth, enhance profitability and improve shareholder value. The transaction leverages complementary market positions and creates a statewide institution with a presence in key Virginia markets.
“This partnership creates a powerful and innovative financial services provider better able to serve its clients and communities of today and tomorrow. The team at FVCB has built and maintains a high-quality banking franchise, and there is no better team with which to unite to capitalize on the opportunities presented by an evolving industry,” said Brian K. Plum, President and Chief Executive Officer of Blue Ridge.
The combination enhances revenue streams with increased sources of fee income and complementary product lines. The opportunities for improved profitability and enhanced revenue streams will create meaningful capital generation to further support technology initiatives and FinTech partnerships.
Under the terms of the agreement, FVCB shareholders will receive 1.1492 shares of Blue Ridge common stock for each share of FVCB common stock they own. FVCB shareholders will own approximately 47.5%, and Blue Ridge shareholders will own approximately 52.5% of the combined company on a fully diluted basis. The combined company will be headquartered in Virginia and will maintain operation centers in other markets.
“We are thrilled to be partnering with Blue Ridge Bankshares in this merger. Over the past couple of years, the growth initiatives and investments Blue Ridge has made has resulted in expanded profitability and a differentiated platform. Our two companies complement each other beautifully, and the combined company will be a formidable competitor across our markets. We believe this merger will enable us to serve our customers with additional products and services, including increased lending capacity and capabilities. As part of a larger and more diverse institution, our employees will have additional opportunities to grow, learn, and develop their careers. Our shareholders should benefit from our increased profitability, liquidity, and increased market capitalization. We look forward to continuing to grow this company across our markets,” said David W. Pijor, Chairman and Chief Executive Officer of FVCB.
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