Cordia Completes Acquisition of Bank of Virginia

By Chris Cumming March 28, 2013, 9:54 a.m. EDT 1 Min Read

M&A

Cordia Bancorp to Buy Out Bank of Virginia Shareholders

Cordia Bancorp will invest $3 million to consolidate control of Bank of Virginia in a move Jack Zoeller, Cordia's CEO, says will position the company to make acquisitions and raise capital.

By Andy Peters

August 29

Cordia Bancorp has taken full ownership of Bank of Virginia (BOVA).

The Midlothian, Va., companies completed a share exchange on Wednesday that made Bank of Virginia a wholly-owned subsidiary of Cordia. Shareholders Bank of Virginia, which has assets of $180 million, approved the exchange at a special meeting the same day.

In 2010 Cordia bought a majority stake of just under 60% in Bank of Virginia for $10.3 million. Under the latest transaction, each of its remaining shares was exchanged for 0.664 of a share of Cordia common stock, which will begin trading on Nasdaq on Monday under the ticker "BVA." There are now 2.8 million shares of Cordia stock outstanding.

The companies announced plans for the consolidation in August. Bank of Virginia conducted a $2 million rights offering to its existing shareholders in November in connection with the transaction.

Cordia was founded in 2009 to invest in community banks. Nearly all of its assets are invested in Bank of Virginia.

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