Independent in Mich. Resumes Interest Payments on Trust Preferreds

Independent Bank (IBCP) in Ionia, Mich., is back on track with payments on its trust preferred stock.

The $2.1 billion-asset company said on Thursday that it deposited $8.3 million with the trustees for four trust-preferred issues, covering deferred interest and the interest due on its next payment date. The trustees will distribute the funds to holders of the trust preferred shares.

Independent, which began deferring interest payments in December 2009, said it intends to resume a regular interest payment schedule going forward.

Earlier this week, the company said it had raised $89 million by selling common stock, with plans to use the funds to exit the Troubled Asset Relief Program.