LANSING, Mich. and PHOENIX, June 9, 2011 /PRNewswire/ -- Capitol Bancorp Limited (OTCQB: CBCR) announced today that it has entered into a definitive agreement pursuant to which all of the outstanding shares of Sunrise Bank, which is majority owned by Capitol and certain of its affiliates, will be acquired by way of an all-cash merger by an affiliate of AmericanWest Bank, led by Chairman and CEO Scott Kisting.
Capitol Bancorp's Chairman and CEO Joseph D. Reid said, "We continue to advance our equity reallocation initiative through divestitures to improve the capital positions at our affiliate banks that face continued economic pressures."
Earlier this year, Capitol announced the sale of its other California affiliate, Bank of Feather River. The completion of both transactions, following earlier consummated divestitures of three other California-based affiliates, will comprise Capitol's exit from the California market and divestiture of the remaining approximate $273 million of its assets within the State.
"Capitol has enjoyed working with Sunrise Bank President and CEO Scott Andrews and the entire banking team to establish a significant presence in southern California. We are pleased to partner Sunrise Bank with a financial institution committed to similar community banking principles," said Reid.
The transaction, which is subject to the receipt of requisite regulatory and shareholder approvals, is expected to be completed in 2011.
About Capitol Bancorp Limited
Capitol Bancorp Limited (OTCQB: CBCR) is a national community banking company with a network of separately chartered banks in 14 states. Founded in 1988, Capitol Bancorp Limited has executive offices in Lansing, Michigan, and Phoenix, Arizona.
Forward Looking Statement
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SOURCE Capitol Bancorp Limited