Peapack-Gladstone Fiscal Company Completes Personal Placement of $100 Million of Subordinated Notes

Bedminster, NJ – ( NewMediaWire ) – December 22, 2020 – Peapack-Gladstone Fiscal Corporation (NASDAQ Worldwide Decide on Market: PGC) (the “Company”), the keeping corporation for Peapack-Gladstone Lender, right now announced the completion of its personal placement of $100. million in fastened-to-floating amount subordinated notes thanks 2030 (the “Notes”). 

The Notes are supposed to qualify as Tier 2 capital for regulatory purposes.  The Notes will initially bear fascination at a fastened yearly rate of 3.50% for the very first 5 a long time and will reset quarterly thereafter to the then latest three-thirty day period SOFR amount in addition 326 foundation factors.

The Corporation intends to use the web proceeds from the providing for normal company uses, which may contain the opportunity redemption of present subordinated debentures, acquisitions of wealth administration corporations and stock repurchases, subject matter to any applicable regulatory clearances.

In connection with the issuance and sale of the Notes, the Company entered into a registration legal rights settlement with the purchasers of the Notes pursuant to which the Enterprise has agreed to consider sure actions to provide for the trade of the Notes for subordinated notes that are registered under the Securities Act of 1933, as amended, with significantly the exact same phrases as the Notes.

Douglas L. Kennedy, President and CEO of the Corporation, commented, “We ended up happy to have financial investment grade rankings from the two Kroll and Moody’s. We believe those ratings and our means to increase $100 million of more Tier 2 capital at just one of the least expensive fees since the pandemic hit, displays the power and quality of our business and administration staff. The proceeds of this giving will permit us to be in a posture to contact a part of our outstanding debt carrying a bigger price, if we so decide on, and guidance growth initiatives and money management possibilities, all devoid of dilution to present shareholders.”

Piper Sandler & Co. and Keefe, Bruyette & Woods, A Stifel Company served as joint placement agents for the Notes giving. Luse Gorman, Computer system served as lawful counsel to the Business and Covington & Burling LLP served as legal counsel to the placement brokers.

This press launch is for informational uses only and shall not represent an give to offer, or the solicitation of an supply to purchase the Notes, nor shall there be any sale in any jurisdiction in which these an offer, solicitation or sale would be illegal prior to registration or qualification below the securities guidelines of any these types of jurisdiction.  The Notes have not been registered beneath the Securities Act and could not be offered or sold in the United States absent registration or an applicable exemption from registration needs.  The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance policy Company or any other government agency or fund.

ABOUT PEAPACK-GLADSTONE Monetary Corporation

Started in 1921, Peapack-Gladstone Financial Company is a New Jersey financial institution holding company with full assets of $6. billion, and prosperity administration property below administration and/or administration of $7.6 billion as of September 30, 2020.  Peapack-Gladstone Bank is a professional lender that offers ground breaking prosperity management, business and retail solutions, together with residential lending and on-line platforms, to businesses and individuals.  For more than four generations, Peapack Personal, the Bank’s prosperity management division, has supplied detailed monetary, tax, fiduciary and expenditure advice and methods, to people today, family members, privately held businesses, loved ones offices and not-for-gain businesses, which assist them establish, preserve and expand their legacy.  Alongside one another, Peapack-Gladstone Lender and Peapack Non-public offer an unparalleled dedication to shopper service.  Visit  www.pgbank.com  and  www.peapackprivate.com  for additional information.

Forward-On the lookout STATEMENTS

This push launch has forward-seeking statements in just the meaning of the Securities and Exchange Act of 1934, as amended, which include statements of ambitions, intentions, and anticipations as to future tendencies, designs, gatherings or results of Business operations and insurance policies and pertaining to typical financial problems.  In some circumstances, forward-looking statements can be recognized by use of words and phrases these kinds of as “may,” “will,” “anticipates,” “believes,” “expects,” “plans,” “estimates,” “potential,” “continue,” “should,” and related text or phrases.  These statements are centered on existing and predicted financial circumstances, nationally and in the Company’s market place, desire costs and interest level policy, competitive elements, and other situations which by their mother nature, are not inclined to precise forecast, and are subject matter to major uncertainty.  Because of these uncertainties and the assumptions on which this dialogue and the forward-searching statements are based, actual future functions and benefits may possibly vary materially from these indicated herein.  Viewers are cautioned versus placing undue reliance on any this kind of ahead-hunting statements. The Company’s previous effects are not essentially indicative of long run efficiency.

As the consequence of the COVID-19 pandemic and the similar adverse area and nationwide economic consequences, we could be subject to any of the subsequent extra threats, any of which could have a product, adverse result on our small business, monetary condition, liquidity, and final results of functions: 

·         demand from customers for our products and solutions and services may decline, generating it tricky to increase assets and income 

·         if the financial system is not able to considerably reopen, and high degrees of unemployment go on for an prolonged interval of time, bank loan delinquencies, difficulty belongings, and foreclosures may raise, ensuing in elevated charges and reduced income 

·         collateral for loans, especially actual estate, may perhaps decrease in value, which could bring about loan losses to increase 

·         our allowance for financial loan losses could have to be improved if debtors expertise economic difficulties, which will adversely have an impact on our net income 

·         the internet value and liquidity of personal loan guarantors may perhaps decrease, impairing their means to honor commitments to us 

·         as the consequence of the decline in the Federal Reserve Board’s focus on federal funds rate to in the vicinity of %, the produce on our assets may possibly drop to a better extent than the drop in our value of fascination-bearing liabilities, reducing our internet fascination margin and distribute and lessening internet income 

·         a substance minimize in web earnings or a net decline in excess of a number of quarters could end result in a decrease in the level of our quarterly funds dividend 

·         our wealth administration revenues could decrease with continuing sector turmoil 

·         a worsening of small business and economic disorders or in the money marketplaces could final result in an impairment of specific intangible assets, this kind of as goodwill

·         the unanticipated loss or unavailability of crucial staff due to the outbreak, which could harm our potential to run our organization or execute our small business strategy, specially as we may possibly not be prosperous in getting and integrating acceptable successors

·         we may possibly encounter litigation, regulatory enforcement and popularity danger as a final result of our participation in the Paycheck Safety System and the possibility that the Smaller Business enterprise Administration may not fund some or all PPP personal loan guaranties

·         our cyber protection pitfalls are enhanced as the end result of an enhance in the range of staff performing remotely and 

·         Federal Deposit Insurance policies Corporation rates could increase if the company experience extra resolution expenditures.

A discussion of these and other elements that could have an effect on our outcomes is provided in our Securities and Exchange Commission filings, which includes our Once-a-year Report on Sort 10-K for the year finished December 31, 2019.  We undertake no duty to update any forward-wanting statement to conform the statement to real success or adjustments in the Company’s expectations.

Make contact with:  Jeffrey J. Carfora, Senior Govt Vice President and Main Fiscal Officer, [email protected], 908.719.4308, Peapack-Gladstone Economic Corporation, 500 Hills Drive, Suite 300, Bedminster, NJ 07921.