Capital Bank, the Raleigh-based lender with 32 branches, plans to raise as much as $55 million by selling new shares.
The publicly traded bank will use the stock sale to strengthen its balance sheet and "support our strategic growth opportunities in the future," Capital Bank wrote in a filing with the Securities and Exchange Commission.
The filing follows the bank's quarterly earnings report this week, which showed Capital Bank had a $3 million profit in the three months that ended Sept. 30.
“Given our positive core earnings trend and recent market developments, we believe that now is a favorable time to raise money in the capital markets to further strengthen our already robust capital levels for general business as well as strategic purposes,” said CEO B. Grant Yarber, in a prepared statement.
He declined further comment on the proposed stock sale, citing SEC regulations.
Capital Bank intends to hold a shareholder meeting on Dec. 4 to approve the sale of additional stock. The timing also will depend on stock market conditions.