United Bank Buys Century; Consolidation Could Claim Branches, Employees in Area
United Bank, a West Virginia-based institution looking to increase its presence in the Washington area, yesterday bought the locally owned, 11-branch Century National Bank for $62.5 million.</br></br>United, with 18 of its 22 Washington area outlets in Northern Virginia, agreed to pay 2 1/2 times Century's book value.</br></br>United, with overall assets of $5.4 billion, said the deal will boost it from the 11th-largest bank in both Virginia and the Washington area to the ninth biggest, with $2 billion in assets here.</br></br>Century's estimated 1,000 shareholders reaped an immediate windfall in the stock market, with its stock jumping 64 percent -- up $5.10, to $13.10. United's stock fell 68 cents, to $23.92.</br></br>Under terms of the sale, which is expected to be completed in the fourth quarter, stockholders in Century's holding company, Century Bancshares Inc., will receive 0.45 shares of United's holding firm, United Bankshares Inc., and $3.43 in cash for each share of Century they hold, with the announced purchase price at $14.50 per Century share.