Metro Bank completes £387.5 million capital raise
20 January 2014 | 1220 views | 0
Source: Metro Bank
Metro Bank, the revolutionary customer-focused high street bank, today confirms it has raised £387.5 million in a capital raise of common stock, with the share price at a 30% premium on the previous capital raise in June 2012.
This fourth capital raise brings the total equity capital raised by the bank to £641 million ($1,050 million). The capital will be used to support the rapid expansion of Metro Bank, including its retail, commercial, and private banking businesses.
Following the completion of this offering, Metro Bank has a leverage ratio of 25% and Tier 1 capital ratio of 63%. This offering and prior offerings were supported by institutional and private investors worldwide.
Vernon W. Hill, Founder and Chairman, Metro Bank commented: "The revolution in British banking continues, with strong investor support from existing and new investors, who believe in the Metro Bank growth model."
Metro Bank launched in July 2010 with a focus on providing unparalleled levels of service and convenience to customers. It now has more than 280,000 business and personal customer accounts, and opened its 25th store on Friday (17 January 2014) in Milton Keynes. Store expansion across London and the South East remains central to its growth plans, with up to 12 new stores planned for 2014, and an additional 500 jobs to be created.
Bank of America Merrill Lynch and RBC Capital Markets acted as Introduction Agents.