BALTIMORE (AP) — The founder and CEO of Baltimore-based 1st Mariner Bank will step down as part of a deal with a New York investment firm.
Priam Capital Fund plans to infuse $36.4 million into the cash-strapped bank. The company said Tuesday that it would own nearly 25 percent of 1st Mariner under the deal.
The deal also calls for 1st Mariner founder Edwin Hale to step down. It’s contingent on additional capital to be raised from other sources and regulatory approval.
Federal and state regulators placed the bank under intense supervision in September 2009, requiring it to raise capital and deal with problem loans.
Hale launched 1st Mariner in 1995 and became a fixture on Baltimore airwaves and in the community. He declined to comment when contacted by The Baltimore Sun.
(Copyright 2011 by The Associated Press. All Rights Reserved.)