Pacific Financial Corporation, the parent company for Bank of the Pacific, recently completed a $12.6 million private placement offering of common stock. “The common equity will be used to take advantage of growth opportunities within our geographic markets,” according to Dennis A Long, President and CEO of the holding company. “While these are troubled times for many within the financial services industry, we view this as a unique opportunity for those with a strong capital base. The capital raise will result in Pacific having a Tier 1 capital ratio of 9.5% and a total Risk Based capital ratio of 13.6%,” Long said.
Board Chairman, Gary Forcum, indicated the Board of Directors had steered away from government TARP money in favor of the common equity. He stated, “The board’s conclusion was that common equity was more beneficial for shareholders. The board firmly believes public companies should rely on private equity rather than government assistance,”
Pacific Financial Corporation, with the assistance from investment banking firm, McAdams Wright Regan, had intended to raise a total of $12 million by August 31st; however, it exceeded that objective by $591,000 and ahead of schedule.
Pacific Financial Corporation is the holding company of Bank of the Pacific; a Washington state chartered full-service commercial bank. Pacific Financial operates branches in Grays Harbor, Pacific, Wahkiakum, Whatcom and Skagit counties in Washington State and Clatsop County in Oregon. More information about Pacific can be found on its website at www.BankofthePacific.com