PAB Bankshares Inc. in Valdosta, Ga., said late Wednesday that it had withdrawn plans to raise $80 million in a common stock offering "due to changing market conditions."
The announcement came days after PAB reported a second-quarter net loss of $21.1 million, quadruple its first-quarter deficit. "The company is aggressively analyzing all other capital-raising alternatives and nonperforming-asset liquidation plans," it said.
The $1.1 billion-asset company announced the public offering in March in a move to recapitalize its banking subsidiary, Park Avenue Bank. The bank was undercapitalized, with a total risk-based capital ratio of 6.18%, at June 30.