Company Profile
- TowneBank (NASDAQ: TOWN) (“the bank” or “the company”), headquartered in Portsmouth, Virginia, is a diversified, commercially-oriented, high touch community bank underpinned by a private banking model and complemented by high scale mortgage, insurance, and property management businesses. TOWN’s footprint encompasses leading or competitive deposit market shares across the eastern shores of VA, central VA (Richmond), as well as higher growth second-tier MSAs in NC (Charlotte, Raleigh-Cary).
- The bank has been moderately acquisitive in recent years, including four full bank acquisitions since 2015, as well as several less capital-intensive, non-bank fee-generating businesses. The most recent bank acquisition of ~$600 million-asset Farmers Bankshares, Inc. (“Farmers”), which closed in 1Q23, primarily augmented TOWN’s insurance brokerage depth.
- The loan portfolio, which is commercially-focused, was comprised of 32% non-owner-occupied CRE (including…