Sterling Financial Corp. has completed the $730 million recapitalization plan announced last week.
The money from a mixture of institutional and individual investors will bring the parent of Sterling Savings Bank back into compliance with regulatory capital requirements, Chief Executive Officer Greg Seibly said.
Sterling reserves had been drained by substantial losses on real estate and construction loans.
“The successful completion of this capital raise helps position Sterling as a premier community banking franchise in the Pacific Northwest,” said Seibly, who added thanks to customers and employees who remained loyal while the bank solved its capital problems.
COMING SUNDAY: Just how did Sterling Financial Corp. pull off the $730 million recapitalization plan? Read Bert Caldwell’s story in our Sunday Business section.