Madison-based River Valley Bancorp (Nasdaq: RIVR) expects a public stock offering to close Monday. The bank is seeking proceeds of nearly $17 million. July 6, 2014
MADISON, Ind. (July 1, 2014) – River Valley Bancorp announced today the pricing of an underwritten public offering of 825,000 shares of its common stock at a public offering price of $20.50 per share, for gross offering proceeds of approximately $16.9 million. The Company has granted the underwriter a 30-day option to purchase up to an additional 123,750 shares of common stock to cover over-allotments. The offering is expected to close on July 7, 2014.
The Company intends to use the net proceeds from the offering to redeem all 5,000 of its issued and outstanding Fixed Rate Cumulative Perpetual Preferred Stock, Series A and for general corporate purposes, including the contribution of a portion of the proceeds to River Valley Financial Bank, its wholly-owned bank subsidiary, as additional capital. The net proceeds will also support future growth, which may include organic growth in existing markets and opportunistic acquisitions of all or part of other financial institutions.
Keefe, Bruyette & Woods, Inc., a Stifel company, is the sole book-running manager for the offering.
About River Valley Bancorp
River Valley Bancorp is the bank holding company for River Valley Financial Bank, which was founded in 1875. The Bank is headquartered in Madison, Indiana, located along the Ohio River, and serves clients in southeastern Indiana and northern Kentucky from its 14 full-service office locations in Clark, Floyd, Jackson, Jennings, Jefferson and Ripley Counties in Indiana, and in Carroll County in Kentucky. As of March 31, 2014, River Valley had total consolidated assets of $483.9 million, total deposits of $401.2 million and total stockholders’ equity of $36.1 million.
SOURCE: River Valley Bancorp