LANSING, Mich., and PHOENIX, June 18 /PRNewswire-FirstCall/ -- Capitol Bancorp Limited (NYSE: CBC) announced today that it has entered into an agreement with a local investor group to acquire all of the stock of Bank of Fort Bend, including the 51 percent interest in the bank held by Capitol.
Capitol Bancorp's Chairman and CEO Joseph D. Reid said, "This sale will further our strategic deleveraging initiative and permit us to redeploy capital to our affiliates currently faced with economic challenges."
This follows Capitol's announced sale of its other Texas affiliate, Bank of Las Colinas, in January of 2010. The completion of these transactions will constitute Capitol's exit from the Texas market and divestiture of all $80 million of its assets within the State.
"We are pleased to have supported President Bruce Mercer and the Bank of Fort Bend team to establish a presence in the Sugar Land market. We welcome this opportunity that allows the bank to maintain a focus on the banking needs of the local market and also acquire additional local ownership," added Reid.
The transaction, which is subject to regulatory approval, is expected to be completed in 2010.
About Capitol Bancorp Limited
Capitol Bancorp Limited (NYSE: CBC) is a national community bank company, with a network of separately chartered banks in 16 states. Founded in 1988, Capitol Bancorp Limited has executive offices in Lansing, Michigan, and Phoenix, Arizona.
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SOURCE Capitol Bancorp Limited