Just weeks after completing a $20 million acquisition, Laurel, Md.-based Revere Bank is poised to become even bigger.
The community bank announced Tuesday it is purchasing Monument Bank in Rockville for $65.1 million in a deal that would create the fourth-largest bank headquartered in Maryland.
The combined bank would have 10 branches, $1.7 billion in assets and $1.4 billion in deposits.
“We want to be a true suburban Washington community bank, and Monument was the perfect fit,” said Kenneth C. Cook, co-chief executive of Revere Bank. “They’ve sewn up lower Montgomery County, which is a part of the county where our market share was never nearly as high as theirs was.”
Cook said Monument’s branches in Rockville, Bethesda and Silver Spring made it a particularly attractive option.
“The reality is, the closer in you are [to Washington], the more your earnings are protected from the economic cycle,” Cook said. “Home values, for example, don’t fluctuate as much in Rockville as they might in Washington County, Md.”
As part of the deal, Monument shareholders will receive 1.07 shares of Revere stock (valued at $21.26 per share) for each share of Monument.
H.L. Ward, who founded Monument Bank in 2005, will join the executive management team of Revere, as well as its board of directors.
The purchase, which is awaiting regulatory and shareholder approvals, is slated to be completed in the fourth quarter.
Revere, which last year raised $15.5 million in a stock offering, has been expanding throughout Maryland in recent months. On March 23, it completed its purchase of Blueridge Bank in Frederick.
Following the Monument acquisition, Revere will become one of Maryland’s largest community banks based on deposits, behind Eagle Bank (which had $5.19 billion in deposits as of March 31), Sandy Spring Bank ($3.41 billion in deposits) and Columbia Bank ($1.72 billion).