Denver-based CoBiz Financial Inc., a financial services company with $2.6 billion in assets, has received preliminary approval from the U.S. Department of the Treasury to participate in its voluntary Capital Purchase Program.

The company applied for the funds in November and announced yesterday that it has received preliminary approval from the government.

Through the program, the Treasury will invest $64.5 million in the Company's senior preferred stock. This preferred stock will carry a 5% coupon for five years, and 9% thereafter.

In addition, the Treasury will receive warrants to buy shares of CoBiz common stock. The amount and price will be determined at closing. The warrants will expire in 10 years.

The scrip of the company slipped 10.43 per cent to $ 8.85 at the close of Friday's trading with over 58,000 shares changing hands on the Nasdaq.