Stamford, Conn.-based Patriot National Bancorp Inc. on Dec. 22 completed a private placement of $12.0 million aggregate principal amount of 7.0% fixed senior unsecured notes due Dec. 22, 2021, to accredited institutional investors.

The proceeds from the offering will qualify as Tier 1 capital on a consolidated basis. Proceeds will be used for general corporate purposes, including advances to unit Patriot Bank NA to finance growth activities. Those advances will also qualify as Tier 1 capital.

The notes in the offering have a fixed interest rate of 7% per year and are not subject to redemption. Interest is payable semiannually in arrears June 22 and Dec. 22 of each year, beginning June 22, 2017. Principal and interest on the notes are subject to acceleration only in limited circumstances.

PNBK Holdings LLC owns 86.65% of Patriot National Bancorp, as per SNL data.