FAIRFAX, Va.--(BUSINESS WIRE)--FVCBankcorp, Inc. (OTCQX: FVCB) (the "Company"), the holding company for First Virginia Community Bank (the "Bank"), announced today that it has completed a private placement of $25.0 million in aggregate principal amount of its fixedtofloating rate subordinated notes. Unless earlier redeemed, the notes will mature on June 30, 2026. The notes bear interest at a fixed rate of 6.00% for the first five years, and thereafter will bear a floating interest rate equal to three-month LIBOR plus 487 basis points. The notes are intended to qualify as Tier 2 capital for the Company for regulatory purposes.
“We are extremely pleased with the success of this transaction and the confidence this expresses in our continued success. We believe this addition of capital will provide long-term value to the Company and its shareholders,” stated David W. Pijor, chairman, president and CEO of the Company.
The Company intends to use the net proceeds of the offering to support continued organic growth and for general corporate purposes. The additional capital will also allow the Company flexibility to take advantage of strategic opportunities in the market place that may arise.
Sandler O'Neill + Partners, L.P. served as the sole placement agent for the private offering and was advised by LeClair Ryan, LLP. The Company was advised by BuckleySandler LLP.
For more information on the Company’s private placement announcement, please visit www.fvcbank.com.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any security nor shall there be any sale in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Caution About Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include but are not limited to statements about the Company’s plans, objectives, estimates, intentions and expectations as to future trends, plans, events or results of the Company’s operations and policies and regarding general economic conditions. These forward-looking statements are based on current beliefs that involve significant risks, uncertainties and assumptions. Because of these uncertainties and the assumptions on which the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements.
About First Virginia Community Bank
First Virginia Community Bank (“FVCbank”) commenced operations in November 2007 and is the wholly-owned subsidiary of FVCBankcorp, Inc. FVCbank is a $740.9 million Virginia chartered community bank serving small and mid-sized businesses and personal banking customers in the D.C. Metropolitan and Northern Virginia area. Locally owned and managed, it is based in Fairfax, Virginia and has additional full-service offices in Arlington, Manassas, Reston, Springfield, and coming soon, to Ashburn, Virginia.