EUGENE, Ore.–(BUSINESS WIRE)–Craig Wanichek, president and chief executive officer of Summit Bank(OTC Pink: SBKO), today announced that the Summit Bank Board ofDirectors unanimously approved a $5 million stock offering to supportcontinuing strong growth in its Eugene/Springfield and Central Oregonmarkets.
On February 27, the Summit Bank Board met to discuss and approve theoffering of 392,156 shares at $12.75 per share or $5,000,000 inadditional capital. The capital raise will further enhance the Bank’salready strong capital position as it addresses perceived opportunitiesstemming from recently announced acquisitions in both of its primarymarkets. An offering circular and subscription agreement is available atboth its Eugene/Springfield and Central Oregon office locations as wellas on its web site at:
The offering is open for 30 days. The minimum purchase amount is 1,000shares and the maximum purchase amount is 39,216 shares or approximately$500,000 per household. The offering will be available to new andexisting shareholders on a first-come, first-served basis.
“We are excited about our results and continued growth prospects in bothmarkets,” said Craig Wanichek, president and CEO of Summit Bank. “Ourlocal decision making, relationship-based approach has resonated withcurrent clients, resulting in three consecutive years of over 20% growthin loans.”
The offering will be managed by the Bank who will administer allsubscription notices. The Bank at fiscal year-end 2016 reported netloans of $227 million, up from $184 million in 2015. The Bank reported$25 million in capital and $43 million in cash and securities at the endof 2016.
“We reviewed our current price and market conditions when setting theprice,” said Scott Goldstein, senior vice president and chief financialofficer. “We’re confident about the prospects for our Bank and also theprice, which takes into consideration what the board believes arepositive future prospects for growth.”
With offices in Eugene and Bend, Summit Bank is a business bank thatspecializes in providing high-level service to professionals andmedium-sized businesses and their owners. Summit Bank is quoted on theNASDAQ Over-the-Counter Bulletin Board as SBKO. Summit is the number onecommunity bank lender in Oregon for SBA Financing. Summit Bank isdesignated this year as a 100 Best Companies to Work for in Oregon,according to Oregon Business Magazine.
Please refer to the prospectus for additional detailed information andrisk factors regarding the offering and the Bank.
This press release contains certain forward-looking statements. Youshould not place undue reliance on those statements because they aresubject to numerous uncertainties and factors relating to our operationsand business environment, all of which are difficult to predict and manyof which are beyond our control. These forward-looking statementsinclude, but are not limited to, (i) statements about our plans,objectives, expectations and intentions and other statements that arenot historical facts, and (ii) other statements identified by words suchas “believes,” “expects,” “anticipates,” “estimates,” “intends,” “will,”“plans” or similar words or expressions. Some of the factors that maycause actual results to differ materially from those contemplated bysuch forward-looking statements include, but are not limited to, thefollowing possibilities: our ability to execute our business strategysuccessfully, revenues are lower than expected; credit qualitydeterioration that could cause an increase in the provision for creditlosses; competitive pressure among depository institutions increasessignificantly; changes in regulatory environment and/or regulatorycompliance burden; changes in consumer spending, borrowings and savingshabits; a change in the interest rate environment reduces interestmargins; asset/liability repricing risks and liquidity risks; generaleconomic conditions, particularly those affecting real estate values,either nationally or in the market areas in which we do business, areless favorable than expected; loss of key personnel; the effects of andchanges in monetary and fiscal policies and laws, including the interestrate policies of the Federal Reserve Board; continued volatility in thecredit or equity markets and its effect on the general economy; demandfor the products or services offered by the Bank; and the costs andeffects of legal, accounting and regulatory developments.