Company also raises $40 million through common stock rights offering
By Devika Patel
Knoxville, Tenn., Dec. 29 - Hampton Roads Bankshares, Inc. said it settled the second and final tranche of a private placement of stock on Dec. 28. The placement was announced on May 24 and priced for $255 million June 30; the company amended the per-share price on Aug. 17 and raised $235 million on Sept. 30; it raised $20 million in the last tranche.
The company sold 587.5 million common shares in the first tranche at $0.40 apiece and 50 million shares in the second tranche.
The per-share price is a 52.94% discount to the June 29 closing share price of $0.85.
The Carlyle Group invested $72.98 million, Anchorage Advisors, LLC invested $66.71 million and CapGen Capital Group VI, LP invested $44.49 million.
Proceeds will be used to make capital contributions to and strengthen the balance sheets of the company's subsidiary banks and for other general corporate purposes.
The company also said it completed a $40 million common stock rights offering of 100 million shares at $0.40 per share.
Hampton Roads, located in Norfolk, Va., is the financial holding company for Bank of Hampton Roads and Shore Bank.
| Issuer: | Hampton Roads Bankshares, Inc.
|
| Issue: | Common stock
|
| Amount: | $255 million
|
| Shares: | 637.5 million
|
| Price: | $0.40
|
| Warrants: | No
|
| Investors: | The Carlyle Group (for $72,982,786), Anchorage Advisors, LLC (for $66,708,076) and CapGen Capital Group VI, LP (for $44,489,507)
|
| Announcement date: | May 24, 2010
|
| Pricing date: | June 30
|
| Revised: | Aug. 11
|
| Settlement dates: | Sept. 30 (for $235 million), Dec. 28 (for $20 million)
|
| Stock symbol: | Nasdaq: HMPR
|
| Stock price: | $0.75 at close June 30
|
| Market capitalization: | $335.42 million
|
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