LANCASTER, Pa.--(BUSINESS WIRE)--Fulton Financial Corporation (NASDAQ: FULT) today announced that it has made an investment in a new class of noncumulative, nonvoting perpetual preferred stock authorized and issued by United Bancshares, Inc. (United), following receipt of approval to make the investment from the Pennsylvania Department of Banking and Securities.
Fulton purchased 1,350 shares of the class, making an investment of $675,000 in United, which represents an investment equal to approximately 19.86% of United’s total capital on a pro forma basis. Fulton is making this investment in United Bancshares, Inc., and, indirectly, in its subsidiary, United Bank of Philadelphia, because of United’s deep involvement in the advancement of minority neighborhoods and minority owned businesses in Philadelphia.
“Fulton Financial is pleased to support United Bank’s outreach efforts through our company’s Fulton Forward™ initiative, which focuses on delivering programs and forming partnerships that help build vibrant communities through programs, products and services designed to foster affordable housing, drive economic development, and promote education and financial literacy,” said E. Philip Wenger, chairman, president and CEO of Fulton Financial Corporation. “Our capital investment will enhance United Bank’s ability to serve Philadelphia’s communities and neighborhoods through its commercial banking business, which has a particular focus on, and sensitivity to, groups that have traditionally been underserved, including African-Americans, Hispanics and women.”
“United Bancshares, Inc., the holding company of United Bank of Philadelphia, is delighted to receive this investment from Fulton Financial as it represents an exemplary collaborative relationship which will assist in driving economic development and inclusion in its urban markets by supporting United Bank’s lending strategy to small businesses,” said Evelyn F. Smalls, President and Chief Executive Officer of United Bank of Philadelphia. “As we celebrate 25 years as an “outstanding community reinvestment” bank in the region, we will continue to leverage our community banking expertise and experience through multi-sector partnerships like this one with Fulton to ensure that together we create economic stability by fostering job creation/retention and positive social change,” said Smalls.
Fulton Financial Corporation is a Lancaster, Pennsylvania-based financial holding company that has 242 banking offices in Pennsylvania, Maryland, Delaware, New Jersey and Virginia through the following subsidiary banks: Fulton Bank, N.A., Lancaster, PA; Swineford National Bank, Middleburg, PA; Lafayette Ambassador Bank, Bethlehem, PA; FNB Bank, N.A., Danville, PA; Fulton Bank of New Jersey, Mt. Laurel, NJ; and The Columbia Bank, Columbia, MD.
The Corporation’s investment management and trust services are offered at all banks through Fulton Financial Advisors, a division of Fulton Bank, N.A. Residential mortgage lending is offered by all banks under the Fulton Mortgage Company brand.
United Bank of Philadelphia is an African American controlled and managed bank that was chartered in 1992. The Bank conducts a broad range of banking activities through its three branch offices located as follows: Center City Branch, 30 South 15th Street; Mount Airy Branch, 1620 Wadsworth Avenue; and Progress Plaza Branch, 1015 North Broad Street. The Bank also operates thirteen ATM locations in low- to moderate-income areas of the city.
The Bank engages in commercial banking business with a particular focus on, and sensitivity to, groups that have been traditionally under-served, including Blacks, Hispanics and women.
For additional information, visit: www.ubphila.com