Freedom Bank completes second phase of $16 million private placement

Published March 24, 2016 by Jessica Sabbath

Fairfax-based Freedom Bank of Virginia has completed the second phase of a $16 million private placement of its common stock.

Proceeds from the capital raise will be used for general corporate purposes, including supporting the growth of the bank.

The bank closed on $10 million in gross proceeds on Dec. 29 in the initial phase of the private placement with institutional investors.

On March 17, the bank sold 705,882 shares of stock at $8.50 each, resulting in additional proceeds of $6 million.

Funds affiliated with Patriot Financial Partners GP II LLC purchased 77,175 shares of the bank’s Class A voting common stock and 628,707 shares of its Class B non-voting common stock.

The Class A stock is traded on the OTCQX U.S. Premier marketplace under the symbol “FDVA.”

Nelson Mullins Riley & Scarborough LLP served as the bank’s counsel in the private placement, while Silver, Freedman, Taff & Tiernan LLP served as counsel to Patriot Financial.

Freedom Bank is a community bank with locations in Fairfax, Vienna and Reston.