By JOHN G. MILLER
NCWV Media
FAIRMONT, W.Va. — MVB Financial Corp., the holding company of MVB Bank, has filed an application to list its common stock on The Nasdaq Capital Market, bank officials said Wednesday.
The application was filed following Tuesday’s board meeting, MVB CEO and President Larry Mazza said. If MVB is approved, it will be the first West Virginia company to join Nasdaq in 10 years and the first state bank to do so in 18 years.
“Submitting an application to the Nasdaq reflects progress in MVB’s strategic growth journey, going from $8.5 million to $170 million in market capitalization since 2005 with a long runway to grow,” Mazza said. “At MVB, we remain true to the values of a community bank, but we have big dreams and even bigger goals.
That local support has been instrumental in MVB becoming one of the most recognizable trademarks to call the Mountain State home as it has grown from being just a North Central West Virginia company to one with offices throughout the state and along the eastern seaboard.
The pace of MVB Bank’s dramatic growth has hastened since 2015, with the launch of seven banking locations. In total, MVB Bank has 15 locations in West Virginia and Virginia, while its subsidiary, MVB Mortgage, has 18 locations in West Virginia, Virginia, Washington, D.C., North Carolina and South Carolina.
“This has always been an aspiration,” Mazza said. “We’ve been pacing for this and as we neared qualification for the Russell 2000 Index, it was a step that needed to be taken.”
“The Russell 2000 index is an index measuring the performance of approximately 2,000 small-cap companies in the Russell 3000 Index, which is made up of 3,000 of the biggest U.S. stocks,” according to various investor publications and websites. “The Russell 2000 serves as a benchmark for small-cap stocks in the United States.”
“This is a big step up, but one that will allow us to grow in assets and earnings,” Mazza said. “We’re going out into a broader market, which brings liquidity to stock.”
Once approved for Nasdaq, which should be determined in 6-8 weeks, bank officials will learn June 23 whether it makes the Russell 2000.
Financial analysts say inclusion on both provide companies with expanded investor bases since many investment firms, mutual funds and indexes won’t invest or recommend unlisted securities.
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