Primis Bank selling minority interest back to Southern Trust Mortgage
The transaction is expected to close in the fourth quarter
Glen Allen-based Primis Bank, a wholly-owned subsidiary of McLean-based Primis Financial Corp., entered into an agreement to sell its minority interest back to Virginia Beach-based Southern Trust Mortgage LLC (STM), it announced Thursday. Primis Financial Corp. expects to record a pre-tax charge of about $2.9 million in the third quarter.
STM will repurchase all of Primis Bank’s common membership interests and a portion of the bank’s preferred interests in STM. At closing, STM will continue to be a borrower of Primis Bank, but the bank will no longer be a minority owner of STM. The transaction is expected to close in the fourth quarter.
Primis Bank was known as Sonabank until March, and Primis Financial Corp. as Southern National Bancorp of Virginia Inc. As of June 30, Primis Financial Corp. had $3.4 billion in total assets, $2.49 billion in total loans and $2.75 billion in total deposits. Primis Bank has 41 branches in Virginia and Maryland.