- Baltimore-based BV Financial is buying Cambridge, Maryland-based Delmarva Bancshares for $54 million in cash, according to a Thursday press release.
- The $398 billion-asset BV Financial said it plans to pay for the acquisition by issuing $30 million in subordinated debt and a cash dividend from its subsidiary, BayVanguard Bank.
- BayVanguard is expected to have about $750 million in assets and 16 branch locations once the deal closes in the fourth quarter, the press release said.
"This transaction marks another strategic acquisition for BayVanguard Bank as we continue to expand our footprint," said David M. Flair, BV Financial’s co-president and CEO.
"This is a great combination of cultures and high-performing teams, which will create tremendous value for our combined customers and communities," the company’s other co-president and CEO, Timothy L. Prindle said, praising Delmarva’s subsidiary, 1880 Bank.
Delmarva's chairman, president and CEO, Kim Liddell will become BV Financial's chairman when the deal closes, the press release said.
"We have come a long way since my joining Delmarva over a decade ago, from the brink of failure to joining forces with BayVanguard Bank," Liddell said. "We believe our customers will benefit from BayVanguard's increased capital and lending capacity while still maintaining local decision making and the exceptional service they have become accustomed to at 1880 Bank."