BETHESDA, Md., Sept. 2 /PRNewswire-FirstCall/ -- Eagle Bancorp, Inc.
('Eagle') (Nasdaq: EGBN), the parent company of EagleBank, today announced
that the acquisition of Fidelity & Trust Financial Corporation, and the merger
of Fidelity & Trust Bank into EagleBank, became effective on August 31, 2008.
(Logo: http://www.newscom.com/cgi-bin/prnh/20050927/EAGLEBANKLOGO )
As a result of the merger, EagleBank has aggregate assets of approximately
$1.4 billion, and loans and deposits each in excess of $1.1 billion. The bank
will now have 15 offices in the Washington, DC metropolitan area, including 9
in Montgomery County, Maryland, 5 in the District of Columbia and one in
Northern Virginia.
'This transaction brings together two banks that have had immense success
in the Washington metropolitan region over the last decade,' said Ronald D.
Paul, who will remain as Chairman and CEO of Eagle Bancorp and EagleBank. 'We
are excited to be implementing the best practices of both banks and enhancing
our position in the market by providing an expanded capacity to help local
businesses grow, including a larger lending limit, and providing our customers
with continued access to local decision makers.'
'I have been involved in many mergers before,' said Robert Pincus, former
Board Chairman of Fidelity & Trust Bank, who is now Vice Chairman of the
combined entity, 'and I have never seen two banks that were as compatible in
their goals, employee culture and focus as EagleBank and Fidelity. Both banks'
success has been based on delivering superior customer service to the local
business community. I am excited about the additional benefits that a larger,
stronger EagleBank will provide for our customers.'
At the effectiveness of the acquisition, each share of Fidelity common
stock was converted into 0.3894 shares of Eagle common stock. As a result of
the acquisition, Eagle issued 1,638,212 shares of Eagle common stock, not
including 196,090 shares of common stock issuable upon the exercise of options
to acquire Fidelity common stock, as adjusted in accordance with the Agreement
and Plan of Merger.
