Silvergate Bank, a San Diego-based bank with a focus on digital currencies, is looking to go public. Parent company Silvergate Capital filed with the Securities and Exchange Commission on Nov. 16 to raise $50 million through an initial public offering.
The company plans to use the proceeds of the offering to fund its continued growth, as well as general corporate purposes, according to its prospectus. Silvergate applied to be listed on the New York Stock exchange under the ticker “SI.”
Silvergate Bank was founded in 1988. Since then, the La Jolla financial institution has shifted its business toward fintech and cryptocurrency companies; it currently has 483 digital currency customers. The company reported $14.31 million in net income in the nine months ending Sept. 30.
Last year, the bank reported 770 percent growth in noninterest bearing demand deposits, for a total of $1.5 billion. It attributed much of the growth to Silvergate’s increasing focus on deposits and cash management for emerging fintech companies.
Silvergate recently sold its small business lending and retail branch to focus more on cryptocurrency and specialty lending. San Marcos-based HomeStreet Bank plans to acquire the division, including $123 million in business loans and $124 million in deposits. The deal is expected to close in the second quarter of 2019.
Barclays Capital Inc. and Keefe Bruyette & Woods Inc. served as joint bookrunners for the stock offering.