Victory Bancorp, Inc. (the “Company”) (OTCQX: VTYB) announced today that it has completed a private placement of $3.0 million in subordinated notes (Notes) to an institutional investor. The Notes are structured to qualify for the Company as Tier 2 capital under regulatory guidelines.
The Company intends to gradually contribute substantially all of the proceeds to The Victory Bank, which will increase the overall lending capacity of the Bank as it continues to serve small and medium-sized businesses, professionals, and consumers along the Route 422 corridor.
“We are pleased to announce the completion of this debt offering. This transaction will fortify the Company’s capital and liquidity positions,” said Joseph W. Major, Chairman and Chief Executive Officer of the Company.
FIG Partners LLC served as the placement agent for the private offering.
The Notes are not registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any security and will not constitute an offer, solicitation or sale in any jurisdiction in which such offering would be unlawful.
About Victory Bancorp, Inc.
The Victory Bancorp, Inc. is the parent company of The Victory Bank, a Pennsylvania state-chartered commercial bank, headquartered in Limerick, Pennsylvania. The Victory Bank was established in 2008. Victory provides high-quality banking services to small and mid-sized businesses and professionals through its two offices located in Montgomery and Berks Counties, Pennsylvania.
As of December 31, 2018, The Victory Bank had total assets of $251.5 million, total deposits of $223.9 million, and total equity of $22.4 million. Additional information about Victory Bancorp is available on this website.
Additional information about Victory Bancorp is available on this website.
This press release contains forward-looking statements about the offering. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures, changes in the interest rate environment, general economic conditions or conditions within the securities markets, and legislative and regulatory changes that could adversely affect the business in which the Company and the Bank are engaged.