By Devika Patel
Knoxville, Tenn., June 1 – Signature Bancorporation, Inc. said it has settled a $15 million private placement of 5.95% fixed-to-floating rate subordinated notes due June 1, 2028. Sandler O’Neill + Partners, LP was the agent for the notes.
Interest accrues at 5.95% per year for the first five years. From then onwards, the notes will bear interest at a floating rate equal to Libor plus 300 basis points.
The offering was 73% oversubscribed. The company also said in a press release that “coupon pricing represents the lowest spread over the 10-year Treasury by an unrated, privately-placed subordinated debt offering in the Midwest.”
Proceeds will be used for growth, to repay a revolving line of credit and for general corporate purposes.
Signature is the parent company for Rosemont, Ill.-based Signature Bank.
| Issuer: | Signature Bancorporation, Inc.
|
| Issue: | Fixed-to-floating rate subordinated notes
|
| Amount: | $15 million
|
| Maturity: | June 1, 2028
|
| Coupon: | 5.95% for first five years, then at Libor plus 300 bps
|
| Agent: | Sandler O’Neill + Partners, LP
|
| Settlement date: | June 1
|
| Distribution: | Private placement
|
|
|
© 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.
