The parent of Farmington Valley lender Simsbury Bank & Trust Co. has completed its $9.2 million capital infusion through the Treasury’s Small Business Lending Fund.
SBT Bancorp finalized the transaction on Friday, officials said. SBT received initial fed approval on July 22.
In addition, the bank holding company’s board approved a dividend reinvestment plan to raise another $220,000 from shareholders.
SBT was one of a number of U.S. banks who got an emergency infusion two years ago from the Treasury’s recapitalization program known as TARP.
SBT replaced its TARP funds with the latest version of Treasury’s aid program is cheaper and comes with fewer strings, authorities say.
Treasury is promoting the program as an incentive for SBT and other small, community Connecticut and U.S. banks to step up commercial lending, particularly to small businesses. Â
