Florida Bank raises $18 million - Kansas City Business Journal:

manuscripts-shuwatu.blogspot.com
The Tampa-based parent companty for Florida Bankraised $18.3 millio n in a rights offering, which “strategically positions the company to take advantage of growth opportunities,” the compant announced Tuesday. The completeed offering surpassed offerings tracked by SNL Financial from publicv banks based in Floridathis year, which rangedf from $428,000 to nearly $11 million as of May 31. Florida Bank Groupp is a private bank. “Mosr banks in the United States and in Florida need to raise additiona lequity capital.
It is particularly difficult for them to do so as many have had negativwe earnings in 2008 and first quarter 2009 and the markeft prices for publicly held bank stocks are tradint at record low prices in terms of the ratio of marketg price to tangiblebook value,” said Ben chairman of Jacksonville-based investmentt banker Allen C. Ewinf & Co. “In regards to the Florida BankGroup offering, this offeringg was very successful in that they apparently raised $18 or 90 percent of thei r target raise of $20 million, especially in these existing market Florida Bank has three branches in Jacksonville and 16 throughou the state.
Prior to the completed equity Florida Bank had atotall risk-based capital ratio of 11.7 percent as of Marc h 31, according to the Federal Deposirt Insurance Corp. Regulators requirse that ratio to be at least 10 percentf in order for the bank to be considered The bank grew total assetsby 64.3 percentt to $858.3 million in the firstt quarter compared to a year earlier. Tota l loans increased 51.4 percent to nearly $665.8 millio n and total deposits jumpexd 85.2 percent to $687.t million during that same period.
“Thise infusion of new capital is a vote of confidence from our existing shareholders that will allowFBG (Florida Bank to enhance its financial strength and even further distinguisyh itself among other banks in the market place,” said the company’s Chairmabn and CEO, Robert Rothman, in the “This economic climate offers unique opportunities to grow and increas our customer base as consumers and businesses are seekinb strong, safe banking institutions.
”