The Mission Driven Bank Fund in Cleveland, which recently raised $65 million, has invested in two community banks.
The fund said in a press release that it invested in Neighborhood National Bank in El Cajon, Calif., and Anchor Bank in Palm Beach Gardens, Fla. The amounts were not disclosed.
The $151 million-asset Neighborhood is a community development financial institution while the $351 million-asset Anchor is a minority depository institution.
“Neighborhood is perfectly positioned to take advantage of the Mission Driven Bank Fund,” Scott Andrews, the bank’s president and CEO, said in the release. “The new capital will help us grow, and the technical services program will help us implement new technology and hire banking talent as we look to expand our services and branches in San Diego and Orange Counties.”
“We are excited to work with the Mission Driven Bank Fund to continue our mission by increasing access to affordable housing and promoting entrepreneurship for Hispanic Americans, as we expand our operations in Florida,” said Nelson Hinojosa, Anchor’s president and CEO.
The fund, anchored by Microsoft and Truist, has raised a total of $177 million in capital. It will raise more investor funds through May 2025.