TowneBank finalizes $120M acquisition of Village Bank

Suffolk-based TowneBank has completed its acquisition of Midlothian’s Village Bank and its parent company Village Bank and Trust Financial, the bank announced Tuesday.

When the companies announced the merger in September, they valued the deal at about $120 million. Village Bank shareholders gave  “overwhelming support” for the merger at a special meeting held in December 2024, according to the announcement.

The merged companies will have total assets of $17.8 billion, $14.9 billion in deposits and $12.1 billion in loans, based on financial information reported as of June 30.

“Our TowneBank family is delighted to have our long-time friends at Village Bank join us,” TowneBank Executive Chairman G. Robert Aston Jr. said in a statement. “We look forward to welcoming more members across the greater Richmond area and providing enhanced capabilities through the bank and our family of companies.”

The Village Bank locations will operate as Village Bank, a division of TowneBank, until June 2025 when core systems and operations of Village Bank are scheduled to be converted into those of TowneBank.

Village’s former president and CEO, James E. Hendricks Jr., is now a senior executive vice president at TowneBank. Also, Frank E. Jenkins Jr., a member of the Village board, joined the TowneBank board of directors Tuesday.

TowneBank and Village Bank were both founded in 1999. TowneBank has more than 50 locations across Central and Eastern Virginia and North Carolina. Village Bank had nine branch offices serving Richmond and Williamsburg.

As of June 30, 2024, TowneBank had $17.1 billion in total assets and Village Bank and Trust Financial had total assets of $747.7 million.