City First Bank in Washington D.C. and Broadway Financial Corporation in Los Angeles have decided to merge together to form the largest Black-led Minority Depository Institution in the nation.
According to AfroTech.com, the banks announced that they’ve entered a transformational Merger of Equals agreement to expand access capital in underserved communities in urban neighborhoods. With this new merger, both banks will combine their funds which total over a billion in assets.
Marie C. Johns who is the City First Bank’s board chair will serve as the institution lead independent director. “The new combined institution will strengthen our position and will help drive both sustainable economic growth and societal returns. We envision building stronger profitability and creating a multiplier effect of capital available for our customers and for the communities we serve,” said CEO Wayne-Kent A. Bradshaw.
The merger is set to close in the first quarter of 2021.