Trustar Bankshares raises $28.1m in private placement ahead of branch deal

Trustar Bankshares, Inc. announced a $28.1 million private placement to finance its expansion plans, including the acquisition of branches and assets from Forbright Bank. The financing, structured as a mix of common stock and convertible preferred shares, was led by JCSD Mclean Investors, LLC, with contributions from Trustar’s own directors. The deal issued 1,372,700 shares of common stock at $12.50 each and 877,300 shares of convertible, non-cumulative perpetual preferred stock, Series A, with conversion tied to JCSD’s voting ownership cap at 9.9%. Proceeds will fund general corporate purposes, with a focus on capitalizing Trustar Bank’s growth following the pending acquisition of Forbright Bank’s branches, expected to close as early as the fourth quarter of 2026. Regulatory approvals remain a prerequisite for the deal, which aligns with Trustar’s strategy to expand its footprint in Virginia, Maryland, and Washington, D.C. The transaction underscores the bank’s commitment to scaling its operations through strategic acquisitions, supported by external capital and advisory services from firms like Brean Capital and Troutman Pepper Locke LLP.