Synovus corporate headquarters along the Chattahoochee River in Columbus. (Dave Bender/file)
Synovus Financial Corp. said Friday it plans to issue stock and warrants to the Treasury Department for a $973 million capital infusion under the federal government's bank rescue plan.
Synovus said it expects to use the capital infusion to strengthen its capital base and enhance its lending capabilities.
"We are especially focused on opportunities to carefully expand our lending efforts to consumers and businesses as we all work through these challenging economic times," said Richard Anthony, the company's chairman and CEO.Shares of Synovus rose 7 cents to $7.89 during the regular session Friday.
The $700 billion bailout plan is intended in part to help banks navigate the credit crunch and stabilize the nation's financial-services sector.
Many banks have been slammed by a sharp rise in mortgage defaults and freezing of credit markets, making them reluctant to lend to each other or to customers.
Synovus, based in Columbus, Ga., operates more than 300 bank branches in Alabama, Florida, Georgia, South Carolina and Tennessee.
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(AP)
