PrivateBancorp (PVTB) Completes $243.8M TARP Payment
Tweet
Share
E-mailGet Alerts PVTB Hot Sheet
Join SI Premium – FREE
PrivateBancorp, Inc. (NASDAQ: PVTB) announced that today it completed the repurchase of all preferred stock that it issued to the U.S. Department of Treasury under its Troubled Asset Relief Program (TARP) Capital Purchase Program at a price of $243.8 million plus $2.3 million in accrued and unpaid dividends, $813,000 of which will be expensed in the fourth quarter 2012.
The repurchase will result in a one-time, non-cash after-tax charge of approximately $2.23 million in the fourth quarter of 2012, related to unaccreted discount recorded at the date of issuance.
PrivateBancorp used net proceeds from its $75 million underwritten public offering of its common stock and net proceeds from its $125 million underwritten public offering of its 7.125 percent subordinated debentures due 2042, together with existing cash resources, to repurchase the TARP preferred stock. The Company also intends to seek to repurchase the common stock warrant that it issued to the U.S. Treasury as part of its participation in the Capital Purchase Program.
Giving effect to the equity and debt offerings and the TARP redemption, PrivateBancorp's pro forma Tier 1 common capital ratio as of September 30, 2012 is 8.70 percent, its pro forma Tier 1 risk-based capital ratio is 10.77 percent and its pro forma total risk-based capital ratio is 13.49 percent.
The repurchase will result in a one-time, non-cash after-tax charge of approximately $2.23 million in the fourth quarter of 2012, related to unaccreted discount recorded at the date of issuance.
PrivateBancorp used net proceeds from its $75 million underwritten public offering of its common stock and net proceeds from its $125 million underwritten public offering of its 7.125 percent subordinated debentures due 2042, together with existing cash resources, to repurchase the TARP preferred stock. The Company also intends to seek to repurchase the common stock warrant that it issued to the U.S. Treasury as part of its participation in the Capital Purchase Program.
Giving effect to the equity and debt offerings and the TARP redemption, PrivateBancorp's pro forma Tier 1 common capital ratio as of September 30, 2012 is 8.70 percent, its pro forma Tier 1 risk-based capital ratio is 10.77 percent and its pro forma total risk-based capital ratio is 13.49 percent.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Lazard Global Total Return fund declares $0.1534 monthly distribution
- CoVolt Power files for proposed IPO
- enVVeno Medical (NVNO) files $100M mixed shelf
Create E-mail Alert Related Categories
Corporate NewsRelated Entities
Dividend, Treasury Capital Purchase ProgramSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
