Hanmi Financial said Tuesday that it received an initial investment of $6.9 million from Leading Investment & Securities, a Korean securities broker-dealer.
Hanmi, the Los Angeles holding company of Hanmi Bank, entered into a definitive securities purchase agreement in June with Leading Investment. Under the agreement, Leading Investment agreed to provide up to $11 million in common equity capital.
The bank serves the Korean-American community and has been hit with loan losses since the recession began. The company said it is in active negotiations with additional Korean institutional investors about a larger capital infusion.
“When completed, Leading’s investment will augment Hanmi’s capital reserves and … will enhance our ability to weather the current recession and emerge well-positioned,” Chief Executive Jay S. Yoo said in a statement.
Hanmi said it consulted with the Federal Reserve Board before completing the investment.
Shares closed up 17 cents, or 12 percent, to $1.61 on the Nasdaq.