Blue Ridge Bankshares announces $150M private placement

Blue Ridge Bankshares has entered into definitive securities purchase agreements to issue gross proceeds of $150M of Blue Ridge’s common stock. The Private Placement is subject to customary closing conditions including required regulatory and shareholder approvals. Pursuant to the agreements, the Company will issue 60M new common shares at a price of $2.50 per share, and approximately 29.4M warrants to purchase common stock of Blue Ridge with a strike price equal to $2.50 per share. The Private Placement is being led by Kenneth Lehman, a private investor with many years of experience investing in banks, with participation from Castle Creek Capital Partners VIII L.P., other new and existing institutional investors, and Blue Ridge directors and officers. Upon consummation of the Private Placement, Lehman will own approximately 25% of Blue Ridge’s pro forma outstanding common stock and Castle Creek will own approximately 12.5%. No new investors other than Lehman and Castle Creek will own in excess of 9.9% of the common equity of the pro forma company. Piper Sandler & Co. is acting as sole placement agent for the Private Placement.