WYOMISSING, Pa.--(BUSINESS WIRE)--Customers Bancorp, Inc. (NYSE: CUBI) the parent company of Customers Bank and its operating division BankMobile, today announced the closing of its previously announced underwritten public offering of $74,750,000 aggregate principal amount of 5.375% Subordinated Notes due 2034, which included $9,750,000 of Subordinated Notes issued pursuant to the full exercise by the underwriters of their overallotment option. The price to the purchasers was 100% of the principal amount of the Subordinated Notes. Interest will be payable quarterly in arrears on each March 30, June 30, September 30 and December 30 of each year beginning on March 30, 2020.
The Subordinated Notes received an investment grade rating of BBB- from Kroll Bond Rating Agency, Inc., an independent, unaffiliated rating agency.* The Company has applied to list the Subordinated Notes on the New York Stock Exchange under the symbol “CUBB,” and, if approved for listing, trading in the Subordinated Notes is expected to begin within 30 days after the closing date.
Customers expects to receive net proceeds of $72,075,375 from the offering, after deducting underwriting discounts and commissions and estimated offering expenses. Customers expects to use the net proceeds for general corporate purposes, which may include working capital and the funding of organic growth at Customers Bank. Customers also may use a portion of the net proceeds to redeem shares of its preferred stock once they become redeemable, repurchase shares of its common stock, or fund, in whole or in part, possible future acquisitions of other financial services businesses.
Customers Bancorp, Inc. is a bank holding company located in Wyomissing, Pennsylvania engaged in banking and related businesses through its bank subsidiary, Customers Bank. Customers Bank is a community-based, full-service bank with assets of approximately $11.7 billion at September 30, 2019. A member of the Federal Reserve System with deposits insured by the Federal Deposit Insurance Corporation, Customers Bank is an equal opportunity lender that provides a range of banking services to small and medium-sized businesses, professionals, individuals and families through offices in Pennsylvania, Illinois, New York, Rhode Island, Massachusetts, New Hampshire and New Jersey. Committed to fostering customer loyalty, Customers Bank uses a High Tech/High Touch strategy that includes use of industry-leading technology to provide customers better access to their money, as well as Concierge Banking® by appointment at customers’ homes or offices 12 hours a day, seven days a week. Customers Bank offers a continually expanding portfolio of loans to small businesses, multi-family projects, mortgage companies and consumers.
