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Sierra Bancorp Completes Private Placement of $50 Million of Subordinated Notes
PORTERVILLE, Calif.--(BUSINESS WIRE)-- Sierra Bancorp (Nasdaq: BSRR) (the “Company”), the holding company for Bank of the Sierra, today announced the
About this update from Sierra Bancorp
[{"type":"text","content":" PORTERVILLE, Calif.--(BUSINESS WIRE)--\nSierra Bancorp (Nasdaq: BSRR) (the “Company”), the holding company for Bank of the Sierra, today announced the completion of its private placement of $50 million in fixed-to-floating rate subordinated notes due 2031 (the “Notes”).\n\nThe Notes are intended to qualify as Tier 2 capital for regulatory purposes. The Notes will bear interest at a fixed annual rate of 3.25% for the first five years and will reset quarterly thereafter to the then current three-month Secured Overnight Financing Rate (SOFR) plus 253.5 basis points. Kroll Bond Rating Agency assigned an investment grade rating of BBB- to the Notes. The subordinated notes are redeemable by the Company at its option, in whole or in part, on or after October 1, 2026.\n\nThe Company intends to use the net proceeds from the offering for general corporate purposes.\n\nKeefe, Bruyette & Woods, A Stifel Company, served as sole placement agent for the Notes offering. Stuart | Moore | Staub served as legal counsel to the Company, and Squire Patton Boggs served as legal counsel to the placement agent.\n\nThis press release is for informational purposes only and shall not constitute an offer to sell, or the solicitation of an offer to buy, the Notes, nor shall there be any offer, solicitation or sale in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The Notes have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance Corporation or any other government agency or fund.\n\nAbout Sierra Bancorp\n\nSierra Bancorp is the holding company for Bank of the Sierra (www.bankofthesierra.com), which is in its 44th year of operations and is the largest independent bank headquartered in the South San Joaquin Valley. Bank of the Sierra is a community-centric regional bank, which offers a broad range of retail and commercial banking services through full-service branches located within the counties of Tulare, Kern, Kings, Fresno, Ventura, San Luis Obispo and Santa Barbara. The Bank also maintains an online branc...