TowneBank To Acquire Dogwood State Bank In $476M All-Stock Deal At 2.1x TBV; Merger Expected To Close In 1Q26

Author: Benzinga Newsdesk | August 20, 2025 12:57pm

On August 19, 2025, Portsmouth, VA-based TowneBank (NASDAQ:TOWN)(KBRA Senior Unsecured Debt rating: A-/Stable Outlook) announced a definitive acquisition agreement with Raleigh, NC-based Dogwood State Bank, (OTC:DSBX, ", Dogwood", , $2.4 billion assets, $2 billion deposits))) in an all-stock deal valued at $476.2 million (or $25.04/share of DSBX common stock, based on TOWN's 15-day average closing stock price of $35.77 on August 18, 2025), reflective of a price to TBV of 2.1x. The merger is expected to close in 1Q26. The proforma bank will have $22 billion in assets, $16 billion in loans, and $19 billion in deposits including the pending acquisition of Old Point Financial Corporation (expected to close September 1, 2025). This transaction would represent three closed acquisitions within a one-year time frame for TOWN.

 

Posted In: DSBX TOWN