The organizing meeting came before the bank
TowneBank’s origin is unusually recent for a sizable regional bank. Its own 25th-anniversary account recalls G. Robert Aston Jr., known as Bob Aston, and fellow community bankers organizing the business in his Portsmouth garage in 1998. The doors opened April 8, 1999. Those are two distinct beginnings: an organizing effort and the start of banking operations. [3]
At the 2024 anniversary meeting, Aston remained executive chairman, while William I. Foster III, known as Billy Foster, was president and chief executive. The bank also recognized Jacqueline B. Amato, founding president of TowneBank Mortgage, for helping establish connections between its mortgage and real-estate businesses. The history is consequently about building related services as well as adding deposit accounts. [3]
The FDIC identifies TowneBank itself as the active Virginia-chartered, nonmember insured bank, certificate 35095, established April 8, 1999 and listed in Portsmouth. Its releases are issued from Suffolk. TowneBank itself is the publicly traded bank behind the ticker TOWN. Its shareholder reporting and regulatory bank reporting still need their own labels and definitions. [1][8]
A local relationship can involve more than a loan
For a household, the relationship may begin with checking, saving or financing a home. For a business, it can combine borrowing with the daily work of collecting money, paying suppliers and keeping cash available. TowneBank’s treasury menu includes payroll services, collections, merchant payment acceptance, reporting, sweep accounts and fraud controls. The list explains how banking becomes part of a company’s operations between loan applications. [7][8]
A sweep account, for example, can move balances among accounts according to agreed rules, while collection services help organize incoming payments. These services can earn fees and help maintain customer deposits. Their usefulness depends on implementation, reliability and the customer’s needs; offering them does not establish that every client has lower costs or stronger fraud protection in practice. [7]
Towne’s wider group includes Towne Insurance Agency, Towne Benefits, TowneBank Mortgage, wealth services and a real-estate brokerage. Those businesses help explain why the group’s revenue is not limited to the interest earned on loans. An insurance policy or brokerage service is nevertheless a different product from an insured bank deposit, with different contracts, risks and economics. [8]
Three recent mergers changed both geography and capabilities
Village Bank and Trust Financial Corp. and its subsidiary Village Bank joined TowneBank on April 1, 2025, strengthening its Richmond-area presence. The closing release separated legal combination from a planned June systems conversion. That distinction is common in bank transactions: ownership and charter changes can take effect before customers see their accounts move to a common technology platform. [4]
On September 1, 2025, TowneBank completed its merger with Old Point Financial Corporation, including The Old Point National Bank of Phoebus merging into TowneBank. This reinforced Hampton Roads rather than opening an entirely new regional market. Former Old Point leader Robert F. Shuford Jr. joined as a senior executive vice president, with the announcement assigning him the Peninsula board chair role from January 2026. [5]
Dogwood State Bank followed on January 12, 2026. That transaction expanded TowneBank across North and South Carolina and added a Tennessee location. Former Dogwood chief executive Steven W. Jones became president of the Carolinas, and the acquired team added Small Business Administration lending expertise. Dogwood locations were to operate as a TowneBank division until a November 2026 core conversion; that conversion was still a future scheduled milestone at this profile’s October review. [6]
The family of businesses also became smaller in one area
Expansion has not meant keeping every service indefinitely. TowneBank sold its resort-property-management segment on April 3, 2026 for $250 million. The business, associated with Towne Vacations, should therefore be described as a former operation, even though older merger announcements still include it in the affiliate list. A dated divestiture changes the meaning of an otherwise plausible company description. [8]
The second-quarter release reported a $198.55 million pre-tax sale gain and $193.19 million of earnings available to common shareholders. It separately reported $72.01 million of company-defined core earnings, a non-GAAP measure that excludes certain items. These figures make clear that the quarter contained a substantial one-time event; neither the gain nor the adjusted measure should silently replace the reported result. [8]
A disposal can supply capital for other activities, distribute money to shareholders or change future revenue. It also removes an operating business, so a large gain is not evidence that all the remaining services grew at the same rate. TowneBank’s second-quarter release describes continued attention to its Carolina banking markets and insurance operations, but future growth remains an objective rather than a result already secured. [8]
Deposits and property lending underpin the enlarged institution
At June 30, 2026, the insured bank’s FDIC return showed $22.617 billion of assets, $18.822 billion of deposits, $15.279 billion of net loans and leases, and $2.994 billion of equity capital. Net loans were 81.2% of deposits, calculated from unrounded values. These regulatory balances are not a substitute for the shareholder release’s differently scoped deposit or loans-held-for-investment measures. [2]
The FDIC return reported $234.2 million of net income for the first six months. That is a cumulative half-year amount, not quarterly earnings and not automatically the amount available to common shareholders. The timing of Dogwood’s January acquisition and the April business sale also means the half-year is not a clean picture of an unchanged franchise operating at a steady size. [2][6][8]
Gross loans and leases were $15.479 billion. Of that, $12.284 billion, or 79.4%, was classified as real estate; construction and land development accounted for $1.321 billion. Commercial and industrial loans were $1.684 billion. The real-estate category spans more than office buildings, while a construction loan can be exposed to the project’s completion, cost and eventual sale or leasing. [2]
A broader footprint brings more work to coordinate
stood at $33.5 million, with a 0.22% FDIC ratio at June 30. That favorable-looking point-in-time measure does not eliminate the possibility of future losses or describe every acquired loan’s risk. Combining portfolios can change both the number of problem loans and the denominator against which those loans are measured. [2]
The bank held $3.068 billion of securities and $1.815 billion in cash and balances due from depository institutions. These assets sit alongside lending in the balance sheet. Their income and roles differ, and changes in market interest rates can affect funding costs, reinvestment opportunities and securities values in different ways. [2]
TowneBank’s original local-service idea now operates across many communities and several kinds of financial business. The acquired bankers and relationships are part of that continuity, while common systems and controls make the larger operation possible. Dogwood’s scheduled conversion is a concrete remaining step in that process; completed mergers and a growing map do not by themselves demonstrate customer retention or realized integration savings. [6]
Sources
- FDIC institution directory, October 2, 2026 index; identity checked October 5Official sourceBack to text: ↑
- FDIC insured-bank financials, June 30, 2026; dollars in thousands, income year to dateOfficial sourceBack to text: ↑1↑2↑3↑4↑5
- TowneBank 25th-anniversary history, summer 2024; recalls 1998 organizing and April 1999 openingSourceBack to text: ↑1↑2
- TowneBank completes Village transaction, April 1, 2025SourceBack to text: ↑
- TowneBank announces Old Point closing effective September 1, 2025; release September 2SourceBack to text: ↑
- TowneBank completes Dogwood merger, January 12, 2026SourceBack to text: ↑1↑2↑3
- TowneBank treasury and cash-management services; checked October 5, 2026SourceBack to text: ↑1↑2
- TowneBank second-quarter 2026 results, July 22, 2026; page also retains first-quarter resultsSourceBack to text: ↑1↑2↑3↑4↑5↑6↑7