A Winning Combination
EagleBank prides itself on being the premier local bank in our area. We are about to deepen and broaden our roots in the community. We have focused our efforts on becoming as present and active in Northern Virginia as we have become in Maryland and the District. In furtherance of that goal, we have entered into a definitive merger agreement to acquire Virginia Heritage Bank, with EagleBank remaining as the surviving entity.
Virginia Heritage is a $900 million bank headquartered in Tysons Corner. It has six branches, all in Northern Virginia. Our due diligence tells us the bank is well run, and has enjoyed great success in loans and profitability. Along with a number of the EagleBank staff, I have met with some of the Virginia Heritage senior officers, and am extremely impressed with both the quality of their organization and the quality of the various indicators by which banks are measured.
We expect the merger to close in the fourth quarter. If closing were now, then based on Friday’s Eagle Bancorp closing price (June 13), the deal would be valued at about $183 million. Further details have been filed with the SEC and can be found on our website, www.eaglebankcorp.com.
We will begin the regulatory filings promptly. Then it’s up to the governmental process to do its thing. By year’s-end, the combined banks are projected to have in excess of $5 billion in assets – the unquestioned leader in asset size and deposits among Washington area community banks.
As we have repeatedly stated, our focus is not on the size of our balance sheet, but on the earnings growth we generate for our shareholders, and the quality and consistency of those earnings. Our combination with Virginia Heritage Bank will only enhance the quality of our performance.
Most importantly, EagleBank will be able to maximize upon what we have excelled in – quality banking right here in our community, with a true understanding of our customers’ needs, and with an unparalleled level of service.
Bottom line: EagleBank will be a bigger, but most importantly a better, institution as this merger is completed. One of the main reasons we have reached such a high level of success over the past 16 years is our culture. Rest assured, though, that we will be who we always have been: a customer-focused, service-oriented, flexible community bank that puts relationships first.