NexBank Announces Closing of $50 Million Senior Unsecured Notes

Mar 18, 2016, 14:56 ET from NexBank

DALLAS, March 18, 2016 /PRNewswire/ -- NexBank Capital, Inc., a Dallas-based financial services company, announced the successful completion of a private placement to certain institutional and high net worth investors of $50 million senior unsecured notes. The notes are non-callable for five years, and have a stated maturity of March 16, 2026. The notes bear interest at a fixed rate of 5.50% for five years, and thereafter at a floating rate based on a spread above the three-month LIBOR of 435.5 basis points. The notes have been assigned an investment grade rating of BBB- with a positive outlook by Kroll Bond Rating Agency.

The Company intends to use the proceeds of the offering to repay certain indebtedness. Sandler O'Neill & Partners, L.P. acted as the sole placement agent for the private offering of the notes.

"During the process, we secured important support from the industry. This reflects positively on the growth of NexBank and the strength of our product offering for financial institutions and institutional clients," said John Holt, President and Chief Executive Officer of NexBank Capital, Inc. 

"We are pleased to be working with an institutional investor group comprised of insurance companies, banks and asset managers. We believe this backing is a strong endorsement of our platform and the strategic direction of the company," said Matt Siekielski, Executive Vice President and Chief Operating Officer of NexBank Capital, Inc.

NexBank Capital, Inc. recently announced a fourth consecutive year of record levels of earnings, assets, loans and deposits.

The senior unsecured notes are not registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

About NexBank Capital, Inc.  

NexBank Capital, Inc. is a financial services company that serves its clients through three core businesses: Commercial Banking, Mortgage Banking and Investment Banking. NexBank provides customized financial and banking services primarily to leading financial institutions, institutional clients, corporations and individuals nationwide.

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