Sale conducted alongside rights offering at the same price per unit
By Devika Patel
Knoxville, Tenn., Jan. 19 - First Capital Bancorp, Inc. priced a public offering of units in a Form S-1 filed Thursday with the Securities and Exchange Commission. The deal is being conducted alongside a rights offering, and whatever units are not sold in the rights offering will be sold in the public deal, which could raise $17.83 million. The company must raise at least $5 million to complete the offerings.
The company will sell 8,913,513 units of one common share and a half-share warrant at $2.00 per unit on a best-efforts basis. Each whole warrant is exercisable at $2.00 for ten years. The strike price reflects an 18.03% discount to the Jan. 18 closing share price of $2.44.
Kenneth R. Lehman may buy $700,000 of units.
Proceeds will be used to improve the company's capital position, to implement an asset resolution plan, to provide additional capital for bank subsidiary, First Capital Bank, and for general corporate purposes.
The bank holding company is based in Glen Allen, Va.
| Issuer: | First Capital Bancorp, Inc.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | $17,827,026
|
| Units: | 8,913,513
|
| Price: | $2.00
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Ten years
|
| Warrant strike price: | $2.00
|
| Investor: | Kenneth R. Lehman (for $700,000)
|
| Pricing date: | Jan. 19
|
| Stock symbol: | Nasdaq: FCVA
|
| Stock price: | $2.44 at close Jan. 18
|
| Market capitalization: | $7.43 million
|
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