Riverview Financial in Harrisburg, Pa., is planning to raise $17 million.

The $527 million-asset company said in a press release Wednesday that it has an agreement to sell about 270,000 shares of common stock to accredited investors and institutional buyers at $10.50 each. Riverview will also sell roughly 1.3 million shares of preferred stock at the same price.

The preferred stock will convert into common stock after shareholders approve the move.

Riverview said it expects to complete the private placement in late January.

Castle Creek Capital, one of the investors, will be allowed to appoint a representative to the company's board. Riverview also agreed to reimburse Castle Creek for up to $25,000 of its legal fees tied to the private placement.

Riverview said it plans to use proceeds from the private placement to support organic growth.

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