ENGLEWOOD CLIFFS, N.J., Jan. 20 /PRNewswire/ -- North Jersey Community Bancorp, Inc. (the "Company"), the holding company for North Jersey Community Bank (the "Bank"), announced today that it has successfully completed its offering of Series B convertible preferred stock in a private transaction to local investors. The Company raised more than $9 million in new capital through the issuance of 450,200 shares of Series B convertible preferred stock, bringing the bank's tier one capital to over $39 million.
"In this difficult environment, our ability to successfully raise over $9 million in new capital demonstrates confidence in our business model and strategy of smart, stable growth," stated Frank S. Sorrentino III, chairman and CEO. "What is even more impressive is that this new capital was raised without the assistance of an underwriter or broker. Once again, this proves NJCB's commitment to our customers and the communities we serve is rewarded in the strong following the Bank has generated as well as our impressive record of earnings. We are truly gratified by the support we have received from local investors for our share offering, the majority who bank with us and have become strong supporters of our mission and brand. The proceeds from this offering will help drive the next stage of our growth."
The Series B preferred stock is convertible into common stock on the terms and conditions contained in the Series B preferred stock. The shares of Series B preferred stock were sold in a private placement to investors qualifying as "accredited investors" under Securities and Exchange Commission rules. The Series B preferred stock bears a non-cumulative dividend paid at the rate of 4% per year for the first year the security is outstanding, and at the Prime Rate, as published in The Wall Street Journal, thereafter. However, regardless of the Prime Rate, the dividend rate will not exceed 7%.
North Jersey Community Bancorp, Inc. is the holding company for North Jersey Community Bank. The Bank operates through seven branches located in Englewood Cliffs, Fort Lee, Fort Lee/Cliffside Park, Cresskill, Hackensack, West New York and Ridgewood. As of December 31, 2009, the Company had total assets of $515 million, total deposits of $429 million and total loans, net of $393 million. For the year ended December 31, 2009, the Company had net income of $2.2 million, or $1.00 per share.
SOURCE North Jersey Community Bancorp, Inc.