In Brief: Midwest Banc Raises $15.3M in Stock Sale

Midwest Banc Holdings, Melrose Park, Ill., has completed a 1.1 million- share common stock offering, raising $15.3 million.

The stock opened trading Feb. 24 on Nasdaq at $15 per share and traded in a range of $17 to $17.75 during its first day. The $908 million-asset company's shares previously had traded over the counter and were mostly held by eight people, according to the common stock offering prospectus.

Midwest Banc plans to use $6 million of the proceeds to expand its three subsidiary banks in suburban Chicago. It will apply the remaining capital toward its debt.

Edward W. Sibbald, Midwest Banc's chief financial officer, said it had accumulated debt in recent years from financing new branches, a growth strategy the company plans to continue.

"We find either taking over a branch or digging a hole in the ground is a better way for us to grow than through acquisition," he said.

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