First Mariner raises $10.9M, short of its $20M goal

Posted: 10:46 am Tue, April 13, 2010
By Danielle Ulman
Daily Record Business Writer

First Mariner Bancorp fell short of its goal to sell $20 million worth of shares of common stock, raising $10.9 million in a public offering and a rights offering to shareholders, the company said Tuesday.

The parent company of 1st Mariner Bank needs to increase its capital levels, as prescribed by federal regulators, by the end of June.

The company said the $10.9 million it raised, along with a recently completed swap of debt for equity by Edwin F. Hale Sr., its CEO and chairman, advance efforts to recapitalize the bank and the holding company.

“We are particularly pleased with the offering’s results, considering the market conditions,” Hale said in a news release. “The success of this offering gives us positive momentum and puts us in a better position to meet the capital levels required on June 30 in accordance with our regulatory commitments.”

He said much of the support came from local investors, existing shareholders, customers and area residents.

First Mariner sold 9.5 million shares of stock at $1.15 apiece, including more than 3.4 million to shareholders and 6 million to the public.