RICHMOND, Va., Dec. 13, 2010 (GLOBE NEWSWIRE) -- Bank of Virginia (Nasdaq:BOVA) announced today that Cordia Bancorp Inc. completed its acquisition of a majority interest in Bank of Virginia on Friday, December 10, 2010. Cordia purchased 6,776,316 shares at a price of $1.52 per share for a total investment of $10,300,000. The investment results in Cordia owning approximately 59.8% of the outstanding shares of Bank of Virginia. Under the terms of Cordia's agreement with Bank of Virginia, Cordia may invest up to an additional $9,700,000 at the same price per share by September 30, 2011.
The Bank of Virginia board of directors elected Jack C. Zoeller, age 61, as Chief Executive Officer. Mr. Zoeller, Co-Founder and CEO of Cordia Bancorp, has 30 years' experience in start-up and turn-around companies in the banking, financial services and risk management industries. During the last major U.S. banking crisis, he served as turnaround CEO of ComFed Bancorp, a troubled $1.8 billion asset-size bank holding company in Massachusetts. In that capacity, he was reported to have been the first bank president asked by the RTC to remain in place during a bank's conservatorship. From 2006 to 2008 he served on the board and executive committee of TransCommunity Financial Corp., a Virginia bank holding company that merged with Bank of Essex Financial Corp. and Community Bankers Acquisition Corp. In early 2009, he resigned from the merged company, Community Bankers Trust Corp., to co-found Cordia Bancorp and pursue an alternative mid-Atlantic banking strategy.
Mr. Zoeller began his career at E.F. Hutton in New York, where he built the first financial guarantee insurance business on Wall Street. He later founded and served as CEO of Capital Risk Management and AtlantiCare Risk Management and served three years as CEO of New England's largest volume residential mortgage lender. He also served as founder and CEO of North American Health & Life Insurance Co. Ltd. In 2010 he was appointed by the Secretary of Defense to the Defense Business Board at the Pentagon. Mr. Zoeller is a graduate of the U.S. Military Academy at West Point and holds advanced degrees from the Harvard Kennedy School and Oxford University, where he studied as a Rhodes Scholar. As a U.S. Army Ranger, he served as an infantry company commander in the 82 nd Airborne Division.Five other principals of Cordia were elected to the Bank of Virginia's board of directors, including Cordia's founding Chairman, Peter W. Grieve; Bruce B. Nolte, former CEO of TransCommunity Financial Corp. and TransCommunity Bank of Glen Allen, VA; Raymond H. Smith, Jr., CEO of Smith Brown & Groover Securities of Macon, GA; Christopher G. Miller, former director and audit committee chairman of TransCommunity Financial Corp.; and John P. Wright, former bank analyst at Keefe, Bruyette and Woods. Mr. Zoeller was elected Chairman of the Bank Board.