Centura Banks Inc. said that it has a deal to buy First Coastal Bankshares of Virginia Beach, Va., for $117 million, or 2.5 times book value.

The deal, announced late Wednesday, is expected to close by the end of the first quarter. It would expand Centura's presence in southeastern Virginia where First Coastal has $578 million of assets and 17 branches.

Centura would exchange 0.34 share of its common stock for each share of First Coastal. The deal would be accounted for as a pooling of interests.

Centura, with $7.8 billion of assets, operates nine branches in southeastern Virginia. The company has a total of 215 branches in three southeastern states.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.