Company sells 14,000 preferreds at $1,000 apiece via FIG Partners
By Devika Patel
Knoxville, Tenn., July 2 - HomeTown Bankshares Corp. completed a $14 million private placement of 6% series C non-cumulative perpetual convertible preferred stock on June 28, according to an 8-K filed Tuesday with the Securities and Exchange Commission. FIG Partners, LLC was the agent.
The company sold 14,000 preferreds at $1,000 per preferred. They are initially convertible into common stock at $6.25 per share, a 5.93% premium to the June 27 closing share price of $5.90.
Proceeds will be used to redeem the company's $10.37 million of series A and series B fixed-rate cumulative perpetual preferred stock, to support future growth and for general corporate purposes.
The bank holding company is based in Roanoke, Va.
| Issuer: | HomeTown Bankshares Corp.
|
| Issue: | Series C non-cumulative perpetual convertible preferred stock
|
| Amount: | $14 million
|
| Shares: | 14,000
|
| Price: | $1,000
|
| Dividends: | 6%
|
| Conversion price: | $6.25
|
| Warrants: | No
|
| Agent: | FIG Partners, LLC
|
| Settlement date: | June 28
|
| Stock symbol: | OTCBB: HMTA
|
| Stock price: | $5.90 at close June 27
|
| Market capitalization: | $19.62 million
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
