Annapolis Bancorp, Inc., the holding company for BankAnnapolis, has received preliminary nod to participate in the U. S. Department of the Treasury `Capital Purchase Program (CPP).'

As a participant in the CPP, Annapolis Bancorp plans to sell stake worth $8,152,000 in preferred stock, and a warrant to purchase shares of common stock, to the Treasury Department.

The anticipated sale of the preferred stock and warrant is expected to close within 30 days and is subject to the execution of definitive agreements and standard closing conditions.

Annapolis Bancorp, serves the banking needs of small businesses, professional concerns, and individuals through eight community banking offices located in Anne Arundel and Queen Anne's Counties in Maryland.

Recently, the firm has opened a new office in the Annapolis Towne Centre at Parole.

The shares of Annapolis Bancorp closed on Thursday at $4.30.