Nasdaq-listed TowneBank has finalised its previously announced $120m acquisition of Village Bank and Trust Financial, including its wholly owned subsidiary Village Bank.
The transaction, effective from 1 April 2025, strengthens TowneBank’s presence in the Richmond Metropolitan Statistical Area in Virginia and supports its regional growth strategy.
Announced in September 2024, the all-cash deal saw Village Bank shareholders receive $80.25 per share for each outstanding common share. The merger also enables TowneBank to pursue strategic capital deployment and expand revenue opportunities across its Towne Financial Services Group.
TowneBank executive chairman G. Robert Aston, Jr. said: “We look forward to welcoming more members across the greater Richmond area and providing enhanced capabilities through the bank and our family of companies.”
Village Bank will continue to operate under the transitional brand “Village Bank, a Division of TowneBank” until June 2025, when its systems are scheduled to be fully integrated with TowneBank’s core platforms.
As part of the integration process, former Village Bank director Frank E. Jenkins, Jr. has been appointed to TowneBank’s board of directors, effective from the merger completion date.
Village Bank former president and CEO James Hendricks, Jr. said: “This merger has provided a great opportunity to partner with a strong organisation that shares a common commitment to community engagement and preserving neighborhood banking.”
Hendricks will now serve as senior executive vice president at TowneBank.
Based in Midlothian, Virginia, Village Bank and Trust Financial operated nine branch offices across the Richmond and Williamsburg regions. As of 31 December 2024, the company held total assets of $756.1m.
Founded in 1999, TowneBank runs more than 50 banking offices throughout Hampton Roads, Central Virginia, and parts of North Carolina. The institution reported total assets of $17.25bn at the end of 2024, ranking it among the largest banks headquartered in Virginia.
The completed merger is intended to consolidate TowneBank’s regional operations and facilitate the broader delivery of financial services through its affiliated businesses.
