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Univest Financial Corporation Announces Pricing of $50.0 Million Subordinated Notes Offering
SOUDERTON, Pa., Nov. 07, 2022 (GLOBE NEWSWIRE) -- Univest Financial Corporation (“Univest”) (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. and
About this update from Univest Financial Corporation
[{"type":"text","content":"SOUDERTON, Pa., Nov. 07, 2022 (GLOBE NEWSWIRE) -- Univest Financial Corporation (“Univest”) (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. and its insurance, investments and equipment financing subsidiaries, announced that it has priced an underwritten public offering of $50.0 million aggregate principal amount of its 7.25% Fixed-to-Floating Rate Subordinated Notes due 2032 (the “Notes”). The Notes bear interest at an initial rate of 7.25% per annum, payable semi-annually in arrears on May 15 and November 15 of each year, commencing on May 15, 2023. The last interest payment date for the fixed rate period will be November 15, 2027. From and including November 15, 2027 to, but excluding November 15, 2032 or the date of earlier redemption, the Notes will bear interest at a floating rate per annum equal to the Benchmark rate (which is expected to be Three-Month Term SOFR), each as defined in and subject to the provisions of the First Supplemental Indenture, plus 309.8 basis points, payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year, commencing on February 15, 2028. Notwithstanding the foregoing, if the Benchmark rate is less than zero, the Benchmark rate will be deemed to be zero. U.S. Bancorp Investments, Inc. is acting as the sole book-running manager and Keefe, Bruyette & Woods, A Stifel Company and PNC Capital Markets LLC are acting as co-managers for the offering. Univest expects to close the transaction, subject to customary closing conditions, on or about November 15, 2022. Univest estimates that the net proceeds from this offering will be approximately $49.0 million, after deducting the underwriting discount and estimated offering expenses, and expects to use the net proceeds for general corporate purposes. Additional Information Regarding the OfferingThis press release does not constitute an offer to sell or a solicitation of an offer to buy the Notes, nor shall there be any sale of the securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The Notes being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the prospectus supplement or the s...