A bank that is growing as fast as BOFI has to raise capital quite often. They did not do the raise to earn .25% - They will raise 18 million so they can increase their capital by around $200,000,000 - Multiply $200MM by their margin interest spread (what they earn on mortgages and bonds minus what they pay out in deposits) which is around 3%. The math means that they can make an additional $6,000,000 annually with the $18,000,000 they raise.
True that our current earnings of about $20MM a year also adds to the capital ratio, so they can grow $200 to $250MM a year just on that.
BofI intends to use the net proceeds from the offering to support the Bank's growth and for general working capital purposes, including to increase liquidity and provide additional regulatory capital to the Bank. Pending such use, BofI will temporarily invest the proceeds in short-term liquid investments or use them to reduce short-term indebtedness.