Freedom Financial Hldgs. Inc. (FDVA)

[Enterprising Investor]

Freedom Bank Closes Remaining $6 million of $16 million Capital Raise (3/22/16)

FAIRFAX, Va.--(BUSINESS WIRE)--The Freedom Bank of Virginia (OTCQX: FDVA) (the “Bank”) today announced the closing of the remaining $6.0 million of the previously disclosed private placement of an aggregate of $16.0 million of its common stock to institutional investors led by Patriot Financial Partners II, L.P. The Bank had previously closed on $10.0 million of the gross proceeds on December 29, 2015. The proceeds from the capital raise will be used for general corporate purposes, including supporting the growth of the Bank.

On March 17, 2016, the Bank offered and sold a total of 705,882 shares of its common stock at a price of $8.50 per share, resulting in gross proceeds to the Bank of $6.0 million. Funds affiliated with Patriot Financial Partners GP II, LLC purchased in this closing an additional 77,175 shares of the Bank’s Class A Voting Common Stock and 628,707 shares of the Bank’s Class B Non-voting Common Stock.

The shares are exempt from registration with the Securities and Exchange Commission pursuant to Section 3(a)(2) of the Securities Act of 1933, as amended. The Bank’s Class A Voting Common Stock is traded on the OTCQX U.S. Premier marketplace under the symbol “FDVA.”

Nelson Mullins Riley & Scarborough LLP served as counsel to the Bank. Silver, Freedman, Taff & Tiernan LLP served as counsel to Patriot Financial Partners.

Freedom Bank is a community bank with locations in Fairfax, Vienna, and Reston, Virginia. For information about Freedom Bank’s deposit and loan services, visit the Bank’s website at www.freedombankva.com.

http://www.businesswire.com/news/home/20160322005935/en/Freedom-Bank-Closes-Remaining-6-million-16