Community Bank of the Bay in Oakland, Calif., raised $5 million of fresh capital Monday, after closing the first tranche of a public offering.
The bank is seeking to raise a total of $12 million through the offering of its common stock at $3.50 a share. It said the offering will remain open "for a limited amount of time" as it seeks the additional capital.
Brian K. Garrett, Community Bank's chief executive officer, said in a press release that the capital will be used to increase lending and allow the bank to expand into other markets.
The bank was well capitalized on Dec. 31, with a total risk-based capital ratio of 10.23%, a Tier 1 risk-based capital ratio of 9% and a leverage ratio of 7.59%.
"Our ability to add capital and new investors is a direct result of the strong platform of Community Bank of the Bay," said William Keller, the bank's president and chief operating officer.
