StoneCastle Financial in New York launched its $110 million initial public offering Thursday.

The investment management and advisory firm is selling 4.4 million shares of common stock at $25 per share, according a press release Thursday. The underwriters of the sale also have a 45-day option to buy up to 660,000 additional shares of common stock to cover over-allotments.

StoneCastle's common stock began trading on Nasdaq Thursday under the ticker symbol BANX. Its stock was trading at its IPO price of $25 per share Friday morning.

The firm plans to use proceeds from the offering to invest in community banks, including the purchase of an initial portfolio of bank-issued preferred securities. Investments in privately held and publicly traded community banks will range from $5 million to $20 million and include preferred equity, subordinated debt and common equity.

Keefe, Bruyette & Woods, a Stifel Company, Baird and Oppenheimer & Co. are acting as joint book-running managers for the offering.

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