Taylor Capital Group Inc. in Rosemont, Ill., has taken its first step in beefing up its common equity by completing a $35 million rights offering.
The $4.5 billion-asset company said that the offering, which ended on Wednesday, was fully subscribed with rights holders purchasing more than 4.4 million shares of common stock at $7.91 per share. The company will use the capital for general corporate purposes, including providing liquidity for its Cole Taylor Bank.
At Sept. 30, the bank's core capital ratio was 8.14% and its tier 1 risk-based capital ratio was 10.47%.
"We continue to make progress on our goals of repositioning the balance sheet, strengthening asset quality and diversifying revenue to drive earnings," Mark A. Hoppe, Taylor's president and chief executive, said in a news release Monday. "The success of this capital raise is further evidence of the commitment our investors, management team and employees have to our long term strategy and growth plans."
Taylor announced plans last month to add up to $72 million in common equity through the rights offering by converting $37 million of preferred stock into common stock. The company plans to hold a special shareholder meeting next week to consider the stock conversion plan.