Carolina Bank Holdings in Greensboro, N.C., has raised $15.1 million through a private placement of convertible preferred stock.

The $680 million-asset company said in a press release Tuesday that it sold 15,500 shares of preferred stock to unnamed institutional investors. Each share will convert to 100 shares of common stock should shareholders approve the conversion at this year's annual meeting.

Carolina Bank said that net proceeds of roughly $14.1 million would be used to redeem another series of preferred stock and other general corporate purposes.

"We believe this [private placement] reflects the market's confidence in our company and management team," Robert Braswell, Carolina Bank's president and chief executive, said in the release, adding that the "transaction will further strengthen our capital position and enhance our ability to capitalize on the opportunities ahead of us."

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