Old Dominion National Bank continued its momentum going into 2017 with the completion of a 50% upsizing of its previously announced equity offering to accredited investors, issuing an aggregate of 75.0 million shares of common stock to raise gross proceeds totaling $30.0 million.
Meanwhile, Old Dominion continues to execute on its strategy to drive organic growth in the Washington, D.C. Metro area. Recently, the Bank designated Tysons Corner as its corporate headquarters, a move that positions new senior leadership and key banking personnel to better serve customers, including new shareholders, in that growing market. Further, by year-end, Old Dominion plans to open a full-service branch in Tysons Corner, in addition to a full-service branch opening in downtown Charlottesville, both subject to regulatory approval.
The capital infusion and new footprint expansion cap a year of unprecedented growth for Old Dominion under the leadership of new President and CEO Mark Merrill. For year-to-date 2016, Old Dominion grew deposits by 16% to $48.0 million and increased assets by nearly 70% to $80.0 million through the successful equity offering as well as a renewed emphasis on building a premier community bank.
In late October, Old Dominion expanded its board, adding four new directors from the Washington area who bring a strong blend of expertise, diversity and strategic experience. Further, the Bank's leadership team has been strengthened by a series of hires of skilled and seasoned bankers, primarily with experience from larger financial institutions in Northern Virginia.
"With our successful efforts to significantly strengthen our balance sheet as well as expanding our market presence and reach, we move into 2017 well positioned to leverage our key asset – our team," Merrill said. "Adding several experienced and talented local bankers to our already stellar leadership team promises to drive our growth and create a sustainable competitive advantage as more business owners and retail customers learn about the unique benefits of Old Dominion's service-focused community banking model."
Upsized Equity Offering Closed in DecemberIn September, Old Dominion announced that it raised an aggregate of $20.0 million in new equity capital from accredited investors, largely from individuals in the Washington D.C. Metro area. Today, the Bank announced the completion of a 50% upsizing of the offering, raising an additional $10.0 million in new equity capital, primarily from individual investors with whom Old Dominion executives maintain longstanding business and banking relationships. Beyond capital, the Bank's more than 175 new individual shareholders provide Old Dominion with access to a wider network of relationships with referral opportunities that will complement its strategy for growth throughout its footprint.
As previously disclosed, net proceeds from the offering will be used to strengthen Old Dominion's capital base, while assuring the bank continues to exceed regulatory levels required for well-capitalized status as it executes its growth strategy. The additional capital will also be directed toward expanding lending, as well as funding deposit-gathering efforts, and general corporate purposes.
Old Dominion's legal advisor on the private offering and its upsizing was BuckleySandler LLP.
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 state or 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.
About Old Dominion National Bank
Old Dominion is an independent, locally-owned and managed bank headquartered in Virginia with executive and loan production offices in Fairfax County to support its plans for growth in the Washington metropolitan area, as well as two full-service offices in the Charlottesville area of Albemarle County. The bank has approximately $80 million in assets and offers a full range of commercial and consumer financial services in the communities it serves. Please visit the bank online at ODNBonline.com.
