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CHARLESTON, W.Va. (AP) — Expanding its footprint the Washington, D.C. market, United Bankshares Inc. will buy Virginia Commerce Bancorp Inc. in a deal worth $490.6 million, the company said Wednesday.
The acquisition of Virginia Commerce will boost United's total asset size by one-third, to $11.2 billion, the company said.
United is headquartered in Charleston, W.Va., and has 115 branches in West Virginia, Virginia, Maryland, Ohio, Pennsylvania and Washington D.C. The deal announced Wednesday will add 28 branches, a mortgage lending office and a wealth management office, all in northern Virginia and Washington.
Under the deal, United will distribute .5442 share of United stock for each outstanding share of Virginia Commerce, equal to about $14 per share, based on United's 10-day average closing price of $25.73 as of Tuesday, the day before the deal was announced.
Virginia Commerce shares have traded between $11.33 and $12.27 in the same period.
United Bankshares stock fell 66 cents, or 2.6 percent, to $25.17 in late morning trading. Virginia Commerce stock added 68 cents, or 5.6 percent, to $12.89, after earlier jumping as high as $13.51.