Peapack-Gladstone Money Corporation Completes Non-public Placement of $100 Million of …

BEDMINSTER, NJ, Dec. 22, 2020 (World NEWSWIRE) — by way of NewMediaWire  — Peapack-Gladstone Economical Corporation (NASDAQ World Pick out Industry: PGC) (the “Company”), the keeping company for Peapack-Gladstone Lender, nowadays introduced the completion of its personal placement of $100. million in set-to-floating rate subordinated notes thanks 2030 (the “Notes”). 

The Notes are intended to qualify as Tier 2 funds for regulatory purposes.  The Notes will to begin with bear curiosity at a fastened annual charge of 3.50% for the very first five decades and will reset quarterly thereafter to the then current a few-thirty day period SOFR amount plus 326 foundation points.

The Company intends to use the web proceeds from the giving for basic company uses, which might consist of the possible redemption of existing subordinated debentures, acquisitions of prosperity management corporations and stock repurchases, topic to any applicable regulatory clearances.

In link with the issuance and sale of the Notes, the Business entered into a registration legal rights agreement with the purchasers of the Notes pursuant to which the Firm has agreed to get particular actions to provide for the exchange of the Notes for subordinated notes that are registered beneath the Securities Act of 1933, as amended, with substantially the same terms as the Notes.

Douglas L. Kennedy, President and CEO of the Corporation, commented, “We ended up happy to have expense quality rankings from both equally Kroll and Moody’s. We imagine individuals ratings and our skill to elevate $100 million of added Tier 2 money at 1 of the cheapest costs due to the fact the pandemic hit, reflects the toughness and top quality of our group and administration team. The proceeds of this supplying will allow for us to be in a place to contact a part of our exceptional financial debt carrying a larger level, if we so choose, and support advancement initiatives and capital management alternatives, all with no dilution to current shareholders.”

Piper Sandler & Co. and Keefe, Bruyette & Woods, A Stifel Company served as joint placement brokers for the Notes supplying. Luse Gorman, Pc served as lawful counsel to the Firm and Covington & Burling LLP served as authorized counsel to the placement agents.

This press launch is for informational applications only and shall not represent an offer to promote, or the solicitation of an give to acquire the Notes, nor shall there be any sale in any jurisdiction in which these types of an supply, solicitation or sale would be illegal prior to registration or qualification underneath the securities regulations of any such jurisdiction.  The Notes have not been registered less than the Securities Act and may perhaps not be available or marketed in the United States absent registration or an relevant exemption from registration needs.  The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance policies Corporation or any other govt agency or fund.

ABOUT PEAPACK-GLADSTONE Economic Corporation

Started in 1921, Peapack-Gladstone Financial Corporation is a New Jersey financial institution keeping business with total belongings of $6. billion, and prosperity administration assets less than management and/or administration of $7.6 billion as of September 30, 2020.  Peapack-Gladstone Lender is a professional financial institution that offers modern prosperity management, business and retail remedies, like residential lending and on line platforms, to enterprises and individuals.  For around 4 generations, Peapack Personal, the Bank’s prosperity management division, has made available extensive fiscal, tax, fiduciary and expense guidance and options, to men and women, families, privately held enterprises, family members places of work and not-for-financial gain corporations, which assist them build, keep and broaden their legacy.  Alongside one another, Peapack-Gladstone Lender and Peapack Private provide an unparalleled determination to shopper services.  Visit  www.pgbank.com  and  www.peapackprivate.com  for extra information and facts.

Forward-Looking STATEMENTS

This press release has ahead-seeking statements within the which means of the Securities and Exchange Act of 1934, as amended, such as statements of plans, intentions, and expectations as to long term traits, designs, situations or outcomes of Enterprise functions and guidelines and relating to normal economic situations.  In some circumstances, forward-searching statements can be discovered by use of words and phrases these types of as “may,” “will,” “anticipates,” “believes,” “expects,” “plans,” “estimates,” “potential,” “continue,” “should,” and equivalent phrases or phrases.  These statements are primarily based upon present-day and predicted financial disorders, nationally and in the Company’s marketplace, curiosity fees and fascination fee coverage, competitive elements, and other circumstances which by their mother nature, are not susceptible to exact forecast, and are subject to significant uncertainty.  Mainly because of these uncertainties and the assumptions on which this discussion and the ahead-seeking statements are centered, genuine foreseeable future functions and effects might vary materially from those indicated herein.  Audience are cautioned against inserting undue reliance on any this kind of forward-searching statements. The Company’s earlier outcomes are not always indicative of future efficiency.

As the outcome of the COVID-19 pandemic and the related adverse regional and national economic outcomes, we could be topic to any of the next added dangers, any of which could have a content, adverse influence on our business, fiscal affliction, liquidity, and effects of functions: 

•  demand for our goods and solutions may possibly decrease, earning it difficult to increase property and income 
•  if the economic climate is unable to substantially reopen, and higher ranges of unemployment keep on for an prolonged interval of time, loan delinquencies, difficulty property, and foreclosures may perhaps improve, resulting in amplified expenses and lowered income 
•  collateral for financial loans, especially actual estate, may decrease in worth, which could lead to financial loan losses to increase 
•  our allowance for financial loan losses may possibly have to be enhanced if borrowers experience economic challenges, which will adversely impact our net income 
•  the internet worth and liquidity of bank loan guarantors may well decline, impairing their capacity to honor commitments to us 
•  as the end result of the decrease in the Federal Reserve Board’s goal federal money amount to in close proximity to %, the produce on our property may possibly decline to a better extent than the drop in our cost of fascination-bearing liabilities, lessening our web curiosity margin and spread and minimizing web income 
•  a material reduce in web cash flow or a web loss in excess of several quarters could consequence in a lower in the charge of our quarterly money dividend 
•  our wealth management revenues might drop with continuing industry turmoil 
•  a worsening of small business and economic problems or in the financial marketplaces could result in an impairment of sure intangible assets, these types of as goodwill
•  the unanticipated reduction or unavailability of critical personnel owing to the outbreak, which could harm our capability to operate our organization or execute our company strategy, particularly as we may possibly not be successful in locating and integrating suitable successors
•  we may perhaps encounter litigation, regulatory enforcement and popularity danger as a end result of our participation in the Paycheck Protection Prepare and the chance that the Modest Organization Administration could not fund some or all PPP loan guaranties
•  our cyber safety hazards are improved as the final result of an increase in the range of workers doing work remotely and 
•  Federal Deposit Insurance policies Corporation premiums may well improve if the agency expertise added resolution prices.

A discussion of these and other things that could influence our outcomes is bundled in our Securities and Trade Commission filings, together with our Annual Report on Type 10-K for the 12 months ended December 31, 2019.  We undertake no responsibility to update any forward-hunting statement to conform the statement to real results or alterations in the Company’s expectations.

Make contact with:  Jeffrey J. Carfora, Senior Executive Vice President and Main Monetary Officer, [email protected], 908.719.4308, Peapack-Gladstone Economical Company, 500 Hills Generate, Suite 300, Bedminster, NJ 07921.