Bank OZK Announces Pricing of $350 Million of 2.750% Fixed-to-Floating Rate Subordinated Notes due 2031

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[{"type":"text","content":"LITTLE ROCK, Ark., Sept. 09, 2021 (GLOBE NEWSWIRE) -- Bank OZK (the “Bank”) (Nasdaq: OZK) today announced the pricing of its public offering of $350 million aggregate principal amount of its 2.750% Fixed-to-Floating Rate Subordinated Notes due 2031 (the “Notes”). The Notes will initially bear interest at a fixed rate of 2.750% per annum, payable semi-annually in arrears on each April 1 and October 1 commencing April 1, 2022 to, but excluding, October 1, 2026. On October 1, 2026 and thereafter, the Notes will bear interest at a floating rate equal to a benchmark rate (which is expected to be three-month term SOFR) plus 209 basis points, paid quarterly in arrears on each January 1, April 1, July 1 and October 1, through maturity or earlier redemption of the Notes. The offering of the Notes is expected to close on September 16, 2021, subject to customary closing conditions. The Bank expects to use the net proceeds from the offering of the Notes for general corporate purposes, which may include, among other things, financing organic growth or strategic acquisitions, repurchases of shares of the Bank’s common stock, supporting the Bank’s regulatory capital levels and ongoing working capital needs. Piper Sandler & Co. is acting as the book-running manager, and Crews & Associates, Inc. is acting as co-manager, for the Notes offering. The Notes will be unsecured and subordinated obligations of the Bank and will rank junior in right of payment to all of the Bank’s existing and future senior indebtedness (including deposits and claims of general creditors). The Notes will not be guaranteed by any of the Bank’s subsidiaries or affiliates. The Notes will be issued in reliance upon an exemption from registration under Section 3(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”), because the Notes are being offered by a bank. The Notes will not be savings accounts or other deposits and will be neither insured nor guaranteed by the Federal Deposit Insurance Corporation. The Notes have not been and will not be registered under the Securities Act or under the securities laws of any state and may not be offered or sold absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state or other jurisdictions’ securities laws. This press release does not constitute an off...

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