FNBH in Michigan Raises $16 Million in Private Placement

FNBH Bancorp (FNHM) in Howell, Mich., has raised $16.4 million through a private placement.

The $302 million-asset company said in a regulatory filing Friday that it also plans to conduct a rights offering in the first half of this year. FNBH said in a December regulatory filing that it planned to raise up to $1.6 million by selling as much as 2.3 million shares of common stock at 70 cents each.

FNBH announced in August that it needed capital to comply with a 2009 enforcement action from the Office of the Comptroller of the Currency. An October revision to the consent order required FNBH's bank to maintain a minimum 8.5% Tier 1 leverage ratio and a minimum 11% total risk-based capital ratio.

At Sept. 30, FNBH had a 3.4% Tier 1 leverage ratio and a 6.7% total risk-based capital ratio, according to the Federal Deposit Insurance Corp.

The company lost more than $40 million from 2007 to 2011. It earned $286,000 in the third quarter, bringing its total profit in the first nine months of last year to $2.9 million.