After offering expenses, the offering resulted in approximately $10.96 million of net cash proceeds to the Bank. Of the shares of common stock sold in the offering, 1,210,000 shares were sold to "friends and family" through the efforts of CEO Edward Shin and the remaining shares of common stock were sold to an experienced institutional investor.
The subordinated notes were sold to two experienced institutional investors, and are expected to qualify as Tier 2 capital for regulatory capital purposes.
Chairman Young Man Kim stated, "We are very pleased to complete this capital raise. This is a demonstration of the support that Noah Bank enjoys in the local community, as well as the institutional market."
As of March 31, 2015, Noah Bank had assets of approximately $302 million, deposits of approximately $248 million, and loans of approximately $255 million (net of loan loss allowance).
After giving effect to the offering, as of March 31, 2015, the Bank’s estimated Tier 1 Leverage Ratio would be 11.2% and the Bank’s estimated Total Risk-Based Capital Ratio would be 16.5%.
CEO Edward Shin added that "This additional capital provides further support for the Bank’s operations and will allow the Bank to well exceed the capital ratio requirements set forth in the existing consent agreements with the FDIC and the Pennsylvania Department of Banking and Securities. We are very pleased with the outcome of the offering."
