Valley Financial Corp. of Roanoke has received tentative approval for a $16 million investment from the federal government, according to The Roanoke Times.
The company, which runs the Valley Bank, applied for the investment under Congress’ $700 billion Emergency Economic Stabilization Act of 2008.
TowneBank in Hampton Roads is also planning to ask for federal money.
Valley Bank’s CEO and President Ellis Gutshall told the Times that bank did not need to the investment to survive, but planned to use it to increase the loans it can provide to individual and businesses.
Capital One Financial Corp. of McLean and First Community Bankshares of Bluefield have already received money under the program. About 28 Virginia banks have applied or showed in interest in the program. (The Roanoke Times)