Kroll Bond Rating Agency Comments on Eastern Virginia Bankshares, Inc.’s Merger with Southern National Bancorp of Virginia, Inc.

Kroll Bond Rating Agency (KBRA) released a comment entitled, “United Community Banks, Inc.’s acquisition of Palmetto Bancshares, Inc.”, which makes the following points:

• Eastern Virginia Bankshares, Inc. (NASDAQ: EVBS) (“EVB”) and Southern National Bancorp of Virginia, Inc. (NASDAQ: SONA) (“Southern National”), have announced an agreement whereby Southern National will merge with EVBS and its subsidiary bank, EVB.
• Southern National Bancorp will be the surviving entity once the transaction closes.
• The all-stock transaction is valued at nearly $180 million and is expected to close in the second quarter of 2017.
• On April 29, 2016, KBRA affirmed Eastern Virginia Bankshares, Inc.’s unsecured debt rating of BBB, subordinated debt rating of BBB-, and short-term rating of K3.
• On April 29, 2016, KBRA affirmed EVB’s deposit rating of BBB+, subordinated debt rating of BBB, and short-term deposit rating of K2 rating and assigned a senior unsecured debt rating of BBB+, and a short-term debt rating of K2.
• On December 14, 2016, KBRA assigned a Senior Unsecured debt rating of BBB, a subordinated debt rating of BBB- and a short-term rating of K3 to Southern National Bancorp of Virginia, Inc.
• Due to the merger, Eastern Virginia Bankshares, Inc.’s and its subsidiary bank, EVB’s, ratings will likely be withdrawn when the merger closes.

To view the comment click here.

Related Publications:

• Southern National Bancorp of Virginia, Inc. Rating Report
• Eastern Virginia Bankshares, Inc. Surveillance Report

Follow us on Twitter!
@KrollBondRating

About Kroll Bond Rating Agency

KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).

View source version on businesswire.com: http://www.businesswire.com/news/home/20161214005921/en/