TGR Financial, Inc. Announces Completion of $22 Million Subordinated Notes Offering
TGR Financial, Inc. (OTCQX: TGRF), the holding company for First Florida Integrity Bank, announced today the completion of a private placement of $22 million in ten-year, fixed-to-floating rate subordinated notes due 2030 (the “Notes”) to certain qualified institutional buyers and accredited investors.
The Notes have a maturity date of June 30, 2030 and an initial interest rate of 6.00% per annum, payable quarterly for the first five years of the term, then quarterly at a variable rate on the then current three-month SOFR plus 590 basis points. The Company may redeem the Notes on or after June 30, 2025, or at any time upon certain other specified events. The Notes have been structured to qualify as Tier 2 capital at the Holding Company level for regulatory purposes.
The Company will use the proceeds from the placement of the Notes for general corporate purposes, including without limitation, to fund future growth and for investment in, or capital contributions to, the Company’s subsidiary, First Florida Integrity Bank.
“We are pleased to announce the successful completion of our subordinated debt offering under favorable terms,” said Chairman and Chief Executive Officer Gary L. Tice. “This funding will allow us to continue fueling opportunities on behalf of our customers, our shareholders and provides added strategic flexibility. Through issuance of these Notes, we have cost effectively increased our capital levels without diluting our existing shareholders.”
In connection with the Notes offering, Piper Sandler & Co. served as placement agent along with their legal counsel Kilpatrick, Townsend & Stockton LLP. Smith, Gambrell & Russell LLP advised as legal counsel for the Company.
This press release is for informational purposes only and shall not constitute an offer to sell, or the solicitation of an offer to buy, any security, nor shall there be any sale in any jurisdiction in which such an offer, solicitation, or sale would be unlawful prior to the registration or qualification under the securities laws of such jurisdiction. The Notes have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold absent registration or an applicable exemption from registration requirements. The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance Corporation or any other government agency or fund.
TGR Financial, Inc., an $1.9 billion Bank Holding Company, is the parent company for First Florida Integrity Bank. First Florida Integrity Bank remains the largest community bank headquartered in Collier County ranking fifth in deposit market share as of June 30, 2019.
For more information about the Company visit www.ffibank.com.
