CapStar Financial Holdings in Nashville, Tenn., expects to raise net proceeds of $16.6 million in an initial public offering that it plans to spend on growth and other initiatives — perhaps including M&A.
Beth Alexander, a spokeswoman for the $1.3 billion-asset company, told American Banker on Thursday that CapStar expects to use the funds for "growth" and added that "we're always looking for acquisition targets that seem like a good fit."
Investors
The underwriters have the option to purchase from the company up to an additional 387,750 of common stock within 30 days from the start of their sale on Thursday, which would add $5.8 million to the IPO's gross valuation of $39 million.
Keefe, Bruyette & Woods and Sandler O'Neill are the joint book-running managers; Raymond James & Associates and Stephens are co-managers.
The IPO is a little smaller than first expected. CapStar