Bank seeks to raise loan limit through public offeringNOVATO -- Circle Bancorp, the parent of Circle Bank, has made the initial steps to becoming a publicly traded company, intending to raise between $20 million and $30 million in capital through an initial public offering of stock, according to a recent regulatory filing.
The offering will end either at the bank’s discretion after the minimum offering of $20 million is sold as of Dec. 15 of this year. If the offering is completed, shares will be issued on the closing date. If the minimum number of shares are not sold, funds will be returned.
According to the filing, the bank’s current commercial lending activities tend to focus on businesses and professionals who are also depositors and in amounts within the bank's "legal lending limit." As of June 30, that limit was approximately $6.6 million, which would increase to approximately $11.4 million if all of the shares of common stock offered are sold, according to the filing.
Pricing of the initial public offering hasn't been filed yet.
“A key element of the bank’s plans for expansion is to strengthen core deposits by focusing on business banking and business lending to clients from whom we can obtain their entire core deposit banking relationship,” the document read.