Capitol Bancorp Joins Forces with Forethought Financial

Lansing-based Capitol Bancorp Limited has formed a joint venture with Forethought Financial Group Inc., of Indianapolis, and DeGorter Capital Partners LLC, of Charlotte, to own and operate Forethought Federal Savings Bank. Forethought Federal Savings is located in Indiana.

According to excerpts from the article:

The terms of the agreement result in a 51 percent ownership position by Capitol Bancorp Limited, 24 percent ownership by Forethought Financial Group Inc., and 25 percent ownership by DeGorter Capital Partners LLC.

With more than $300 million in trust assets under management, Forethought Federal Savings Bank is an industry leader in providing trust-related, preneed funeral planning products and services to customers in 28 states.

Forethought Financial Group's President and CEO, John A. Graf, said, "Clients of Forethought Federal Savings Bank and Capitol Bancorp Limited affiliate banks will benefit from the financial strength of this alliance. It will provide additional product and service offerings that can benefit all of our valued customers."

Capitol Bancorp Limited's Chairman and CEO Joseph D. Reid stated, "This strategic alliance is consistent with our corporation's growth strategy. It will enhance our national presence while creating an opportunity to increase our non-interest income."

Read the entire article here.