Portsmouth, Virginia-based TowneBank agreed to buy Village Bank and Trust Financial for about $120 million, the companies said today.
The expansion will build TowneBank’s presence in the Richmond, Virginia area, Executive Chair Robert Aston Jr. said in a release. Village Bank now has about $750 million in assets with offices around Richmond and Williamsburg.
TowneBank will have about $17.8 billion in assets, pending completion of the transaction. It still requires regulatory and stockholder approvals. Aston started the bank in 1999, and it now has about 50 offices.
The transaction is expected to boost TowneBank’s earnings per share by 6% as it achieves expected cost savings, the company said.
TowneBank has expanded into North Carolina over the past decade, with offices in Cary, Camden, Charlotte, Greenville, the Outer Banks and Raleigh.
