Pacific Mercantile Sells Stock to Fund Branches
Costa Mesa-based Pacific Mercantile Bancorp said it has sold $5 million of preferred stock to an unnamed institutional investor.
This sale follows another $5 million preferred equity fundraising to a separate institutional investor in June. “The proceeds from this sale will be used to fund the continued growth of Pacific Mercantile Bank,” said Raymond E. Dellerba, chief executive of Pacific Mercantile.
The bank opened a financial center in La Jolla and a loan production office in La Habra in May. Pacific Mercantile hopes to grow the La Habra office into a full financial center with consumer and business banking operations this fall.
Pacific Mercantile operates three OC financial centers in Newport Beach, Costa Mesa and San Clemente. It also has branches in Beverly Hills and La Jolla, as well as Internet-based banking services.
The preferred securities mature in 30 years and initially will pay interest on a semi-annual basis at 5.39%, which resets every six months.
