Oak Ridge Financial Completes Offering for Minnwest Corporation

$10 million raised includes the full overallotment despite a challenging economic environment

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Oak Ridge Financial Services Group, Inc.

Sep 20, 2011, 11:29 ET

MINNEAPOLIS, Sept. 20, 2011 /PRNewswire/ -- The Oak Ridge Financial Services Group, Inc. (Oak Ridge) today announced the completion of its subordinated debt offering on behalf of Minnwest Corporation (Minnwest). Oak Ridge raised $10,000,000 for Minnwest, which included execution of its $2,000,000 overallotment option. Minnwest is the fifth largest bank holding company in Minnesota and also has operations in South Dakota.

"We're proud of our efforts on behalf of Minnwest, especially given the current unrest in the financial markets," said Oak Ridge Private Client Group President Mike Leonard. "This was one of those deals where everything came together really well between the private client group, institutional sales and our investment bankers," Leonard added. Oak Ridge began with an initial target of $8,000,000 for Minnwest but was able to top out at the full overallotment amount of $10,000,000.

This transaction strengthens Minnwest's capital. Minnwest has a diverse portfolio of banks that serve both metropolitan areas as well as rural, agriculture-focused regions. Minnwest can use this additional capital to achieve its strategic plans and regulatory requirements.

"In spite of economic and regulatory pressures to the contrary, we continue to believe that a community banking model is not obsolete. We appreciate the assistance from Oak Ridge and the investment community in raising this capital, which will allow Minnwest to meet regulatory requirements and take advantage of future opportunities," said Minnwest CEO Todd McVay.

"As we approached banks to raise the capital for this offering, we were excited to see the interest and support for Minnwest from the financial community," said Oak Ridge Senior Vice President Craig Mueller, one of the investment bankers on the project. "We are very fortunate to represent Minnwest on this transaction," he added.

The Oak Ridge Financial Services Group, Inc. has been creating, managing and protecting wealth for its clients since 1977. With its Financial Institution Group, Oak Ridge is the only Twin Cities based investment banking firm specializing in community banks. Oak Ridge is a member of FINRA and SIPIC.