Bryn Mawr Bank has agreed to invest in United Bancshares, the holding company for the only black-owned bank in the region, United Bank of Philadelphia, writes Jeff Blumenthal for Philadelphia Business Journal.
The Montgomery County bank plans to acquire just over ten percent of United, pending Pennsylvania Department of Banking and Securities’ regulatory approval. The proposed acquisition would equal around $250,000, said Bryn Mawr Bank’s Chief Financial Officer, Michael Harrington.
The latest agreement is the second major investment this year in the Philadelphia bank, following the acquisition of 19.99 percent of its shares by Fulton Financial.
According to Harrington, Bryn Mawr has two main reasons for investing in United.
“We want to support United’s mission,” he said, adding that it also qualifies as a Community Reinvestment Act investment.
The new deal will help Bryn Mawr Bank increase its presence in Philadelphia. It has always provided clients from the city with loans, but its physical footprint was mostly clustered in Philadelphia’s western suburbs.
This new connection with United Bank, which primarily lends in Philadelphia and eastern Delaware County, will help expand this presence.
Read more about Bryn Mawr Bank’s investment at Philadelphia Business Journal by clicking here.