Silicon Valley Plans a Stock Offering
Silicon Valley Bancshares of Santa Clara, Calif., plans to sell 1.25 million shares in a secondary offering to raise capital.The $3.7 billion-asset company, which recently entered a memorandum of understanding with the Federal Reserve to boost Tier 1 capital, said a substantial amount of the proceeds would be contributed to its Silicon Valley Bank.
At $35.125 a share, the company's trading price at midday Monday, the offering would generate $44 million.
Silicon Valley said that it expects per-share earnings to jump about 19% in the current quarter, to 62 cents. The First Call/Thomson Financial consensus estimate is 52 cents.
- Matt Andrejczak
2 Small Indiana Banks Have Merger Deal
First Community Bancshares in Bargersville, Ind., has an agreement to buy privately held Blue River Federal Savings Bank for an undisclosed price.Blue River, of Edinburgh, Ind., has $30 million of assets and one office. The deal, which would give $146 million-asset First Community its ninth branch in Indiana, is slated to close in the second quarter.
- Louis Whiteman