Tri-Valley Bank in San Ramon, Calif., has completed a private placement that it said will shore up regulatory capital and support growth.
The $103 million-asset bank said Thursday that it had raised roughly $7.5 million by selling more than 21.5 million shares at 35 cents a share. The proceeds included $4 million the bank netted previously from the offering, which began in May 2011.
The company restricted sales so that no investor could own more than 9.99% of the stock, Arnold Grisham, the bank's chief executive, said in a press release.
Like other small California banks, Tri-Valley was hurt by the real estate bust. The bank's capital levels have improved recently, due in part to the stock sale. At June 30, the bank had a Tier 1 ratio of 10.4%, compared with 9.1% at March 31.
