Capital Bank shareholders say yes

Capital Bank has received the go-ahead from shareholders to sell $55 million worth of new stock.

Shareholders of the Raleigh-based bank approved amending the company's articles of incorporation to allow it to issue new stock at a meeting this morning, the company stated in documents filed with the Securities and Exchange Commission. Capital Bank didn't include the vote tally in the filing.

If the stock offering is completed, Capital Bank could use some of the proceeds for acquisitions, according to regulatory documents. The bank has indicated that it is interested in acquisitions in South Carolina, Virginia and eastern Tennessee, in addition to North Carolina.All of its 32 branches are in North Carolina today.

The bank also would consider repaying the $41.3 million in stimulus money it received from the U.S. Treasury, Securities and Exchange Commission documents show. Capital Bank is one of three Triangle-based banks that took federal money from the Capital Purchase Program, part of the Troubled Asset Relief Program designed to stabilize and strengthen the banking system.

Even without raising money by selling new shares, Capital Bank is viewed as “well capitalized” by regulators.

Capital Bank's filings don't include a timetable for issuing the new shares.

Capital Bank shares were fetching $4.20, up 9 cents, in mid-afternoon trading. Shares have falled 32 percent this year.