Eastern Virginia Bankshares repays government for stock rights

Published May 15, 2015 by Robert Powell, III

Tappahannock-based Eastern Virginia Bankshares Inc., the parent company of EVB, has paid $115,000 to the federal government for rights to its stock issued during the Great Recession.

Eastern Virginia repurchased from the U.S. Treasury Department a warrant to purchase 384,041.19 shares of the company's common stock at an exercise price of $9.374 per share.

The warrant was issued to the government in January 2009 as part of the company's participation in the Capital Purchase Program of the federal Troubled Asset Relief Program (TARP).

Eastern Virginia said that, with the repurchase of the warrant, the Treasury Department has no remaining equity investment in the company.

In a statement, Joe A. Shearin, the president and CEO of the parent company and the bank, said the move “marks continued progress toward achieving our strategic goals.”