An entity created by the investor group would receive a $1 million breakup fee and be reimbursed for up to $1.75 million of its costs if the bankruptcy court selects another buyer for First Mariner Bank, according to a filing in the chapter 11 case of the bank’s parent company, First Mariner Bancorp, the Baltimore Business Journal reported today. A group of investors led by Baltimore native and New York hedge fund manager Howard Feinglass has a deal to buy First Mariner Bank and recapitalize it with $85 million to $100 million. The chapter 11 filing affects only First Mariner Bancorp, not First Mariner Bank or its customers. RKJS Bank, an entity the investor group created, will serve as the stalking-horse bidder in the bankruptcy auction.
