HomeTrust to Buy Blue Ridge in $448 Million Stock Deal

The Tip Desk · October 21, 2026 · 2 min read

The Asheville community-bank holding company said the combination would create a Southeast commercial bank with more than $7 billion in assets and over 60 locations.

HomeTrust Bancshares, Inc. (HTB), the Asheville, North Carolina holding company for HomeTrust Bank, said it will acquire Blue Ridge Bankshares, Inc. (BRBS), the Richmond holding company for Blue Ridge Bank, National Association, in an all-stock transaction valued at approximately $448.1 million.

Under the agreement, Blue Ridge shareholders will receive 0.086 of a share of HomeTrust common stock for each share of Blue Ridge common stock, plus cash in lieu of any fractional shares. Based on HomeTrust’s 5-day volume-weighted average price of approximately $49.82 a share on August 14, 2026, the consideration equaled $4.28 a share. Holders of about 25% of Blue Ridge’s outstanding warrants agreed to exchange those warrants for HomeTrust common stock; remaining warrant holders may exchange theirs or have them rolled into newly issued HomeTrust warrants. The transaction is intended to qualify as a tax-free reorganization for federal income tax purposes.

The merger expands HomeTrust’s footprint into Virginia markets and is expected to create a commercial bank with more than $7 billion in assets and over 60 locations across the Southeast. HomeTrust said the combined company would be one of only three $5–10 billion major-exchange-traded banks in the region. HomeTrust had total assets of $4.4 billion as of June 30, 2026, and operated more than 30 locations across North Carolina, South Carolina, East Tennessee, Southwest Virginia, and Georgia.

Upon completion, HomeTrust stockholders are expected to own approximately 65% of the combined company and Blue Ridge shareholders approximately 35%. Two Blue Ridge directors will join the boards of HomeTrust and HomeTrust Bank.

President and Chief Executive Officer Hunter Westbrook said the deal would bring a strong deposit franchise, a growing commercial loan portfolio, and deep local relationships that complement HomeTrust’s existing footprint. “I’m enthusiastic about the proforma company and the opportunity to welcome our new Virginia teammates to the HTB team,” he said. “This transaction represents a compelling opportunity to further strengthen our presence in the attractive Virginia market and accelerate our growth and profitability strategies.”

Blue Ridge’s Interim President and Chief Executive Officer Harry Golliday said the company had completed a clean-up of legacy challenges and repositioned itself for profitability and growth.

The transaction is expected to close early in the first quarter of 2027, subject to regulatory and shareholder approvals and customary closing conditions. HomeTrust said the deal is expected to be accretive to earnings per share by approximately 30% if anticipated cost savings are fully achieved beginning in 2028. The company estimated dilution to tangible book value per share of approximately 8.3% at closing, with an earn-back period of about 3.25 years. Boards of both companies unanimously approved the merger.