Florida Bank raises $18 million - Silicon Valley / San Jose Business Journal:

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The Tampa-based parent companyg for Florida Bankraise $18.3 million in a rights which “strategically positions the company to take advantage of growth opportunities,” the company announced Tuesday. The completed offering surpassed offerings tracked by SNL Financialk from public banks based in Florida this which rangedfrom $428,000p to nearly $11 million as of May 31. Floridz Bank Group is a private “Most banks in the United Statesx and in Florida need to raisd additionalequity capital.
It is particularly difficultr for them to do so as many have had negativd earnings in 2008 and firstr quarter 2009 and the market priced for publicly held bank stocks are tradinhg at record low prices in termsa of the ratio of markef price to tangiblebook value,” said Ben chairman of Jacksonville-based investment banker Allen C. Ewing & Co. “Im regards to the Florida Bank Group this offering was very successful in that they apparentlyraised $18 or 90 percent of their target raisre of $20 million, especially in these existinh market conditions.” Florida Bank has three branchesa in Jacksonville and 16 throughout the state.
Prioer to the completed equity raise, Florida Bank had a total risk-basefd capital ratio of 11.7 percent as of March 31, accordint to the Federal Deposit Insurance Regulators require that ratio to be at least 10 percentf in order for the bank to be considered “well-capitalized.” The bank grew total assetsx by 64.3 percent to $858.3 million in the firsf quarter compared to a year earlier. Total loans increased 51.4 percent to nearly $665.8 million and tota l deposits jumped 85.2 percent to $687.5 million during that same period.
“Thisx infusion of new capital is a vote of confidence from our existinv shareholders that will allowFBG (Floridsa Bank Group) to enhance its financial strengthu and even further distinguish itself among other banks in the markert place,” said the company’s Chairman and CEO, Roberrt Rothman, in the announcement. “This economic climatw offers unique opportunities to grow and increase our customer base as consumers and businesses areseeking strong, safe bankinh institutions.
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