Florida Bank raises $18 million - Triangle Business Journal:

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The Tampa-based parent companyt for Florida Bankraised $18.3 million in a rightw offering, which “strategically positions the compangy to take advantage of growth opportunities,” the companyg announced Tuesday. The completed offering surpassed offerings tracked by SNL Financialp from public banks based in Floridaathis year, which ranged from $428,000 to nearly $11 million as of May 31. Florida Bank Grouo is a private “Most banks in the Unitedf States and in Florida need to raisw additionalequity capital.
It is particularly difficult for them to do so as many have had negativer earnings in 2008 and first quarter 2009 and the marke t prices for publicly held bank stockd are trading at record low prices in termas of the ratio of market price to tangiblebook value,” said Ben Bishop, chairmanh of Jacksonville-based investment banker Allem C. Ewing & Co. “In regardz to the Florida BankGroup offering, this offering was very successfulp in that they apparently raised $18 million, or 90 percenr of their target raise of $20 million, especially in these existinf market conditions.” Florida Bank has threee branches in Jacksonville and 16 throughour the state.
Prior to the completec equity raise, Florida Bank had a total risk-baserd capital ratio of 11.7 percenft as of March 31, according to the Federalo DepositInsurance Corp. Regulators require that ratio to be at leasf 10 percent in order for the bank to beconsiderefd “well-capitalized.” The bank grew totaol assets by 64.3 percent to $858.3 million in the first quarter compared to a year Total loans increased 51.4 percent to nearly $665.8 million and totakl deposits jumped 85.2 percent to $687.5 million durinf that same period.
“This infusion of new capital is a vote of confidencd from our existing shareholders that will allow FBG (Florida Bank Group) to enhance its financial strengthj and even further distinguish itself amongt other banks in the market place,” said the company’ss Chairman and CEO, Robert Rothman, in the “This economic climate offers unique opportunities to grow and increasd our customer base as consumers and businesses are seekinh strong, safe banking institutions.
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