Union Bankshares, the holding company of Union Bank & Trust, has agreed to acquire Access National, the owner of Access National Bank and Middleburg Investment Group, in all-stock transaction worth around $610m.
Image: Union Bankshares, the holding company of Union Bank & Trust, has agreed to acquire Access National. Photo: courtesy of Corey Coyle/Commons.wikimedia.org.
As per the merger agreement signed by the parties, each share of Access National Bank will be exchanged for 0.75 shares of Union Bankshares.
The proposed merger of the two entities will result in an enlarged Virginia-based regional bank with an improved footprint across the US state.
As per the financial data on 30 June 2018, the combination of Union Bankshares and Access National will hold $16bn worth assets, $11.9bn in total deposits along with gross loans of $11.4bn.
Union Bankshares expects the merger with Access National to bolster its presence in Northern Virginia.
Access National president and CEO Michael Clarke said: “This investment in Union enables Access shareholders, clients and associates to reap the rewards of accelerating growth and opportunities in our markets.
“Our go-forward position as Virginia’s regional bank allows our stakeholders to realize benefits it would have taken years for us to accomplish independently.”
Union Bank & Trust has a total of 140 branches and nearly 200 ATMs located across Virginia and in certain places in Maryland and North Carolina.
On the other hand, both Access National Bank and Middleburg Investment Group serve Northern and Central Virginia.
Access National Bank is a commercial bank that caters to middle market businesses and associated professionals across the Washington D.C. region. Its main services are commercial credit, deposit, investment, private banking, cash management and real estate finance.
The bank’s subsidiaries offer wealth management, retirement planning and securities brokerage.
Union Bankshares president and CEO John Asbury said: “The combination with Access delivers on our stated priorities for this year as well as our market expansion goals in Northern Virginia. Access brings extensive commercial and industrial lending expertise as well as strong wealth management and trust businesses in addition to their attractive Middleburg Bank retail operation.”
The merger is expected to be closed in the first quarter of 2019, depending on receipt of regulatory and shareholder approvals and meeting of other customary closing conditions.