BAYONNE, N.J., July 30, 2018 (GLOBE NEWSWIRE) -- BCB Bancorp, Inc, Bayonne, NJ (NASDAQ:BCBP), the holding company for BCB Community Bank today announced the completion of its private placement of $33.5 million in fixed-to-floating rate subordinated notes due 2028 (the “Notes”). The Notes bear a fixed rate of 5.625% for the first five years and will reset quarterly thereafter to the then current three-month LIBOR rate plus 272 basis points. The Notes were assigned an investment grade rating of A- by Egan-Jones Ratings Company.
The Company intends to use the net proceeds from the offering for general corporate purposes, including improving the liquidity position at the holding company and providing capital to its bank subsidiary. The Notes are intended to qualify as Tier 2 capital for the Company for regulatory purposes and the portion that the Company contributes to the Bank will qualify as Tier 1 capital for the Bank.
“We are pleased to announce the successful completion of our subordinated debt offering as well as the positive response to this transaction. This additional capital provides the Company with the resources to continue its strategic growth plan,” stated Thomas Coughlin, President and Chief Executive Officer.
Sandler O’Neill + Partners, L.P. served as the sole placement agent for the offering. Luse Gorman, PC served as legal counsel to the Company and Hogan Lovells US LLP served as legal counsel to the placement agent.
About BCB Bancorp, Inc.
Established in 2000 and headquartered in Bayonne, N.J., BCB Community Bank is the wholly-owned subsidiary of BCB Bancorp, Inc. (NASDAQ: BCBP). The Bank has 28 branch offices in Bayonne, Carteret, Colonia, Edison, Hoboken, Fairfield, Holmdel, Jersey City, Lodi, Lyndhurst, Maplewood, Monroe Township, Parsippany, Plainsboro, Rutherford, South Orange, Union, and Woodbridge, New Jersey, three branches in Hicksville and Staten Island, New York, and a loan production office in Manhattan. The Bank provides businesses and individuals a wide range of loans, deposit products, and retail and commercial banking services. For more information, please go to www.bcb.bank.
