Capitol Bancorp Ltd. of Lansing, Mich., has opened its 50th separately chartered bank subsidiary, Ohio Commerce Bank in Beachwood.
The bank, which opened last week, is the ninth the $3.9 billion-asset Capitol has opened this year. The company said Monday that it has at least four others in the pipeline.
Capitol launches banks by putting up 51% of the capital needed to start a bank and raising the remaining 49% from local investors. Typically after three years, it buys out the minority shareholders through a stock exchange.
The company plans to use this plan to expand its network of community banks to 100 by 2011. It currently has banks in 14 states.
Ohio Commerce is the second bank Capitol has opened in that state; its first, Bank of Maumee, opened last month.
