Goldwater Bancorp, Inc. Completes Subordinated Note Offering

PHOENIX, Nov. 10, 2021 /PRNewswire/ -- Goldwater Bancorp, Inc. (the "Company"), the holding company for Goldwater Bank, National Association (the "Bank"), announced that it has completed a private placement of $15.0 million in aggregate principal amount of fixed-to-floating rate subordinated notes to certain institutional accredited investors. The Company will use the proceeds to fuel organic growth and strengthen its commercial banking presence in Arizona, specifically Phoenix, through expansion of the Bank's capabilities in commercial, construction, and loan servicing channels.

The notes will initially bear a fixed interest rate of 4.00% per annum until October 28, 2026, after which time until maturity on October 28, 2031, or an earlier redemption date, the interest rate will reset quarterly to an annual floating rate equal to 90-day SOFR plus 325 basis points. The Company may redeem the notes, in whole or in part, on or after October 28, 2026. Any redemption will be at a redemption price equal to 100% of the principal amount of the notes being redeemed, plus accrued and unpaid interest. The notes are not subject to redemption at the option of the holders.

Kent Wiechert, the President and CEO of Goldwater Bank, N.A., commented on the offering stating "We are appreciative of the interest and reception we received from investors in this successful offering as well as the support and guidance from MJC Partners throughout the process.  This offering bolsters Goldwater's ability to grow and strengthen it presence in Arizona as a leading, locally owned, and locally managed community bank."

Silver, Freedman, Taff & Tiernan LLP served as counsel to Goldwater Bancorp, Inc., and MJC Partners, LLC served as the sole placement agent for the offering.

Goldwater Bancorp, Inc. was established in 2021 as a single-bank holding company for its Arizona state-chartered bank subsidiary, Goldwater Bank, National Association.

Goldwater Bank, National Association established in 2007, is a full-service community bank specializing in residential mortgage origination and construction financing. The Bank is successfully building its presence as a community bank in Phoenix and across Arizona. For further information, please visit www.goldwaterbank.com.

MJC Partners, LLC is a leading Los Angeles-based boutique investment banking and advisory firm providing a full range of strategic, transactional, and valuation-related services to clients across multiple industry groups with a focus on financial services. For more information about MJC Partners, LLC, visit www.mjcpartners.com.

Forward Looking Statements
This news release may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended, and Goldwater Bancorp, Inc. and Goldwater Bank, National Association (together, the "Company") intend for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Future events are difficult to predict, and the expectations described above are necessarily subject to risk and uncertainty that may cause actual results to differ materially and adversely.

Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." These forward-looking statements are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties, and actual results may differ materially from those presented, either expressed or implied, in this news release. Factors that might cause such differences include, but are not limited to: the Company's ability to successfully execute its business plans and achieve its objectives; changes in general economic and financial market conditions, either nationally or locally, in areas in which the Company conducts its operations; changes in interest rates; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; increased competitive challenges and expanding product and pricing pressures among financial institutions; legislation or regulatory changes which adversely affect the Company's operations or business; loss of key personnel; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies.

The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.

This announcement is for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to buy securities.

Contact: 
Peter Hill
President, Chief Credit Officer & Director
Phone:   480.281.8207
Email:    [email protected]

Co-Contact: 
Jon Edwards
Chief Financial Offricer
Phone: 480.281.8225
Email: [email protected]

SOURCE Goldwater Bank, N.A.

Related Links

https://goldwaterbank.com