PrivateBancorp, owner of the PrivateBank, gave five of its recently hired managing directors equity inducements and raised cash for its ongoing expansion plans through a $200 million placement with US private equity firms. The company sold $100 million worth of stock to US private equity firm GTCR Golder Rauner, $40 million worth of stock to Mesirow Financial, and an additional $60 million to “a number of businesses and individual accredited investors”. The securities in the private placement were priced at $28.71 per common share, the official NASDAQ closing bid of PrivateBancorp’s common stock on 23 November, according to the company. The company, which had assets under management of $4.5 billion in June 2007, is modelled on the “European model of private banking” and has 18 offices located in the Atlanta, Chicago, Detroit, Milwaukee, St Louis and Kansas City metropolitan areas. Ralph Mandell, chairman of PrivateBancorp said the firm had hired 34 new managing directors since 30 September this year. “We will continue to recruit talented bankers in all our markets and are building on our strong foundation to substantially grow our client base and increase our middle market commercial banking capabilities," Mr Mandell said. The PrivateBank managing directors received an aggregate of 43,750 time-vested stock options and 43,750 performance-vested stock options, each with an exercise price of $27.24, and 26,250 performance shares, following the private placement.