Bank of America invests in three more minority-focused lenders
Bank of America made three more investments in minority-focused lenders, bringing its total to 10 in the past two months.
The bank took equity stakes of almost 5% in Carver Bancorp Inc., Carver Financial Corp. and CNB Bancorp Inc., the parent of Commonwealth National Bank, it said Monday. The investments are part of a broader $50 million earmarked for minority depository institutions and community development financial institution banks.
“MDIs are closely connected to the needs of their communities, and these investments will help transform and enable more positive change and economic opportunity,” Brian Moynihan, Bank of America's CEO, said in a press release. “By providing equity capital to minority depository institutions, critical projects can be scaled.”
The following lenders received earlier investments:
Bank of America, which is based in Charlotte, N.C., has pledged $1 billion over four years to advance racial equality, of which $300 million has already been allocated. While many industry executives have denounced racism and offered overtures to minority groups, few have announced direct investments in Black-owned banks, whose numbers have dwindled since the 2008 financial crisis.