Home Bancshares Inc. Prices and Upsizes its Offering of Fixed- to Floating-Rate Subordinated Notes Due 2027
March 30, 2017
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Home BancShares Inc. priced and upsized its previously announced offering for its fixed- to floating-rate subordinated notes due 2027. The previous offering was for $150 million of the notes, which has been increased to $300 million. The notes bear 5.625% annual interest, payable semiannually in arrears beginning on the issue date, up to but excluding April 15, 2022, and thereafter payable quarterly in arrears at an annual floating rate equal to three-month LIBOR as determined for the applicable quarterly period, plus 357.5 basis points. The notes mature April 15, 2027. The company expects to close the transaction on or about April 3, 2017. Proceeds will be used for general corporate purposes, which may include investments at the holding company level, providing capital to support the growth of Centennial Bank, repurchases of common shares and the payment of the cash consideration components of future acquisitions. RBC Capital Markets LLC, Sandler O'Neill & Partners LP and Stephens Inc. served as joint book-running managers.
Home BancShares, Inc. is a bank holding company. The Company is primarily engaged in providing a range of commercial and retail banking and related financial services to businesses, real estate developers and investors, individuals and municipalities through its wholly owned community bank subsidiary, Centennial Bank (the Bank). The Bank originates loans primarily secured by single and multi-family real estate, residential construction, and commercial buildings. In addition, the Bank makes loans to small and medium-sized commercial businesses as well as to consumers for a variety of purposes. The Bank offers a range of deposit services, including checking, savings, money market accounts and certificates of deposit. The Bank offers a range of products and services, including 24-hour Internet banking, mobile banking and voice response information, cash management, overdraft protection, direct deposit, safe deposit boxes, United States savings bonds and automatic account transfers.