MainStreet Bancshares, Inc. Completes Public Offering of Depositary Shares
MainStreet Bancshares, Inc. (Nasdaq: MNSB) has successfully completed an underwritten public offering of 1 million depositary shares, each representing a 1/40th interest in its 7.50% Series A Fixed-Rate Non-Cumulative Perpetual Preferred Stock, generating gross proceeds of $25 million. The depositary shares will trade under the symbol 'MNSBP' on Nasdaq, with trading expected to commence on September 16, 2020. The funds aim to diversify the capital stack, support organic growth, and facilitate other corporate opportunities.
- Gross proceeds of $25 million raised from underwritten public offering.
- Funds will support organic growth and diversification of the capital stack.
- Solid market presence with seven branches across Virginia and Washington D.C.
- Potential dilution effects from the new preferred stock offering.
FAIRFAX, Va., Sept. 16, 2020 /PRNewswire/ -- MainStreet Bancshares, Inc. (Nasdaq: MNSB) the holding company for MainStreet Bank, announced the completion of its underwritten public offering of 1 million depositary shares, each of which represents a 1/40th interest in a share of its
The depositary shares will be listed on the Nasdaq Capital Market ("Nasdaq") under the symbol "MNSBP." Trading of the depositary shares on Nasdaq is expected to begin on or after September 16, 2020.
Boenning & Scattergood, Janney Montgomery Scott, D.A. Davidson & Co. and B. Riley FBR served as joint book-running managers for the offering.
"The Washington DC metropolitan area is a great market for community banking," said Jeff W. Dick, Chairman & CEO of MainStreet Bancshares Inc., and MainStreet Bank. "Diversifying our capital stack allows us an opportunity to rebalance, to fund continued organic growth and to consider other corporate opportunities to better serve our market."
MainStreet operates seven branches in Herndon, Fairfax, Fairfax City, McLean, Leesburg, and Clarendon Virginia as well as Washington D.C. MainStreet Bank has 55,000 free ATMs and a fully integrated online and mobile banking solution. The Bank is not restricted by a conventional branching system, as it can offer business customers the ability to Put Our Bank in Your Office®. With robust and easy-to-use online business banking technology, MainStreet has "put our bank" in well over 1,000 businesses in the metropolitan area.
MainStreet Bank has a full complement of payment solutions for financial technology companies with nationally known market leaders on-staff ready to help payment providers create a solution perfect for their needs.
MainStreet Bank has a robust line of business and professional lending products, including government contracting lines of credit, commercial lines and term loans, residential and commercial construction, and commercial real estate. MainStreet also works with the SBA to offer 7A and 504 lending solutions. From sophisticated cash management to enhanced mobile banking and instant-issue Debit Cards, MainStreet Bank is always looking for ways to improve its customer experience.
MainStreet Bank was the first community bank in the Washington, DC metropolitan area to offer a full online business banking solution. MainStreet Bank was also the first bank headquartered in the Commonwealth of Virginia to offer CDARS – a solution that provides multi-million-dollar FDIC insurance. Further information on the Bank can be obtained by visiting its website at mstreetbank.com.
This release contains forward-looking statements, including our expectations with respect to future events that are subject to various risks and uncertainties. The statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "estimate," "predict," "potential," "pursuant," "target," "continue," and similar expressions are intended to identify such forward-looking statements. Factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations include: fluctuation in market rates of interest and loan and deposit pricing, adverse changes in the overall national economy as well as adverse economic conditions in our specific market areas, future impacts of the novel coronavirus (COVID-19) outbreak, maintenance and development of well-established and valued client relationships and referral source relationships, and acquisition or loss of key production personnel.
This release does not constitute an offer to sell or the solicitation of an offer to buy securities, and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.
We caution readers that the list of factors above is not exclusive. The forward-looking statements are made as of the date of this release, and we may not undertake steps to update the forward-looking statements to reflect the impact of any circumstances or events that arise after the date the forward-looking statements are made. In addition, our past results of operations are not necessarily indicative of future performance.
Contact: Jeff W. Dick, Chairman & CEO
(703) 481-4567
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SOURCE MainStreet Bancshares, Inc.
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