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HOME BANCORP, INC. ANNOUNCES COMPLETION OF $55.0 MILLION SUBORDINATED NOTE OFFERING
LAFAYETTE, La., June 30, 2022 /PRNewswire/ -- Home Bancorp, Inc. (Nasdaq: "HBCP") ("Home Bancorp" or the "Company"), the holding company of the 113-year-old
About this update from Home Bancorp, Inc.
[{"type":"text","content":"LAFAYETTE, La., June 30, 2022 /PRNewswire/ -- Home Bancorp, Inc. (Nasdaq: \"HBCP\") (\"Home Bancorp\" or the \"Company\"), the holding company of the 113-year-old Home Bank, N.A. (\"Home Bank\"), announced today the completion of a private placement of $55.0 million of its 5.75% Fixed-to-Floating Rate Subordinated Notes due 2032 (the \"Notes\") to certain qualified institutional buyers and institutional accredited investors.\n\n \n \n \n \n \n \n\n \nThe Notes are unsecured and have a ten-year term, maturing June 30, 2032, and will bear interest at a fixed annual rate of 5.75%, payable semi-annually in arrears, for the first five years of the term. Thereafter, the interest rate will reset quarterly to an interest rate per annum equal to the then-current three-month secured overnight financing rate (\"SOFR\") plus 282 basis points, payable quarterly in arrears. Home Bancorp is entitled to redeem the Notes, in whole or in part, on any interest payment date on or after June 30, 2027, and to redeem the Notes at any time in whole upon certain other specified events. Egan-Jones Ratings Company assigned an investment grade rating of A- to the Notes.\nIn connection with the issuance of the Notes, the Company entered into a registration rights agreement with the purchasers of the Notes pursuant to which the Company has agreed to take certain actions to provide for the exchange of the Notes for subordinated notes that are registered under the Securities Act of 1933, as amended (the \"Securities Act\"), with substantially the same terms as the Notes.\nThe Notes have been structured to qualify as Tier 2 capital for Home Bancorp for regulatory capital purposes. Home Bancorp intends to use the net proceeds from the offering for general corporate purposes, including to support organic growth, enhance Home Bank's capital position, to fund share repurchases and for potential future mergers and acquisitions.\nPiper Sandler & Co. served as lead placement agent for this offering and Hovde Group, LLC and Performance Trust Capital Partners, LLC served as co-placement agents. Silver, Freedman, Taff & Tiernan LLP served as legal counsel to Home Bancorp and Fenimore Kay Harrison LLP served as legal counsel to the placement agents.\nThis press release is for informational purposes only and does not constitute an offer to sell or a solicitation to buy any...