The Bank Slate


Michigan group applies to open de novo bank

A group in Traverse City, Mich., is looking to form a de novo bank.

Organizers of the proposed Sovereign Bank applied with the Federal Deposit Insurance Corp. on Tuesday for deposit insurance. 

The bank will be focused on real estate lending, consisting of commercial real estate loans, multifamily loans and home equity loans, the application said. Sovereign will also be active in commercial business loans and, on a smaller scale, engage in residential mortgage lending.

Organizers plan to raise $18 million to $22 million of initial capital.

Gregory Bigger would serve as chairman, president and CEO. 

The other directors would include Kevin Bozung, Stephen Lang, Bradley Niergarth and Bryan Taggart. Advisers include Don Mann, former deputy commissioner of the Michigan Financial Institutions Bureau, and Connie Deneweth, former CEO of Traverse City State Bank. 

The bank plans to open by the first quarter of 2023.

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