Florida Bank raises $18 million - Wichita Business Journal:

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The Tampa-based parent companyh for Florida Bankraisec $18.3 million in a rights offering, which “strategically positions the companuy to take advantage of growth opportunities,” the company announced Tuesday. The completed offerinhg surpassed offerings tracked by SNL Financial from public banks based in Floridathis year, which ranged from $428,00 0 to nearly $11 million as of May 31. Floridaa Bank Group is a privatre bank. “Most banks in the United States and in Florida need to raise additionalequitt capital.
It is particularly difficult for them to do so as many have had negative earnings in 2008 and first quarter 2009 and the market prices for publicly held bank stocks are tradiny at record low prices in terms of the ratiio of market price to tangible book value,” said Ben chairman of Jacksonville-based investment banker Allen C. Ewing & Co. “In regards to the Floridaa BankGroup offering, this offering was very successful in that they apparentlyh raised $18 million, or 90 percent of their targer raise of $20 million, especially in these existinh market conditions.” Florida Bank has threde branches in Jacksonville and 16 throughout the state.
Prio r to the completed equity Florida Bank had atotal risk-based capitalp ratio of 11.7 percent as of March 31, according to the Federal Deposit Insurance Corp. Regulatorxs require that ratio to be at least 10 percent in ordeer for the bank to beconsidereed “well-capitalized.” The bank grew total assets by 64.3 percent to $858.3 millionj in the first quarter compared to a year Total loans increased 51.4 percent to nearly $665.8 milliom and total deposits jumpede 85.2 percent to $687.5 million during that same period.
“This infusion of new capital is a vote of confidence from our existing shareholdersw that will allowFBG (Florida Bank to enhance its financial strength and even further distinguisu itself among other banks in the market said the company’s Chairmabn and CEO, Robert Rothman, in the announcement. “Thisd economic climate offers unique opportunities to grow and increased our customer base as consumers and businesses are seeking strong, safe banking institutions.
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