First City Bancorporation of Texas gained a 90-day extension on a federal deadline to raise capital or arrange a merger, but the ailing company said its equity needs have risen 50%, to $300 million.

The agreement, announced late last Friday, gave some much-needed breathing room to First City, whose tangible common equity at Sept. 30 equaled a slim 1.1% of total assets.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.