PCB Bancorp Announces Amendment to Stock Repurchase Plan

Rhea-AI Summary

PCB Bancorp announced an amendment to its stock repurchase program on January 26, 2023, extending the expiration date to February 1, 2024. The program allows the repurchase of up to 5% of outstanding shares, with 416,275 shares already repurchased, leaving 331,663 shares available for repurchase. The company may utilize various means, including open market transactions, subject to market conditions. A 10b5-1 trading plan will facilitate purchases during periods restricted by insider trading laws.

PCB Bancorp serves Southern California, offering commercial banking services primarily to Korean-American and minority communities.

Positive

• Extension of the stock repurchase program boosts shareholder value.
• 331,663 shares remain available for repurchase, indicating confidence in stock value.
• Utilization of a 10b5-1 trading plan enables strategic repurchase timing.

Negative

• None.

LOS ANGELES--(BUSINESS WIRE)-- PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of PCB Bank, announced that on January 26, 2023, its Board of Directors approved an amendment (the “Repurchase Program Amendment”) to its current repurchase program that was approved and announced on July 28, 2022. The original repurchase program authorized the repurchase of up to 5% of the Company’s outstanding common stock as of the date of the board meeting, which represented 747,938 shares, through February 1, 2023. The Repurchase Program Amendment extends the expiration date from February 1, 2023 to February 1, 2024. As of January 26, 2023, the Company repurchased and retired 416,275 shares of its common stock, leaving an aggregate of 331,663 shares in authorized repurchase authority that is the subject of the Repurchase Program Amendment.

Under the stock repurchase program, the Company may purchase shares of its common stock through various means such as open market transactions, including block purchases, and privately negotiated transactions. The number of shares repurchased and the timing, manner, price and amount of any repurchases will be determined at the Company’s discretion. Factors include, but are not limited to, stock price, trading volume and general market conditions, along with the Company’s general business conditions. The program may be suspended or discontinued at any time and does not obligate the company to acquire any specific number of shares of its common stock.

As part of the stock repurchase program, the Company intends to enter into a trading plan adopted in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended. The 10b5-1 trading plan would permit common stock to be repurchased at a time that the Company might otherwise be precluded from doing so under insider trading laws or self-imposed trading restrictions. The 10b5-1 trading plan will be administered by an independent broker and will be subject to price, market volume and timing restrictions.

About PCB Bancorp

PCB Bancorp is the bank holding company for PCB Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phases of similar meaning. We caution that the forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to general economic uncertainty in the United States and abroad, the impact of inflation, changes in interest rates (including actions taken by the Federal Reserve to address inflation), deposit flows, and real estate values, and their corresponding impact on our customers, and the network and data incident discovered on August 30, 2021. These and other important factors are detailed in various securities law filings made periodically by the Company, copies of which are available from the Company without charge. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230126005237/en/

Timothy Chang

Executive Vice President & Chief Financial Officer

213-210-2000

Source: PCB Bancorp

FAQ

What is the purpose of PCB's stock repurchase program amendment?

The amendment extends the expiration of the stock repurchase program, allowing PCB to buy back shares and enhance shareholder value.

How many shares has PCB Bancorp repurchased so far?

PCB Bancorp has repurchased 416,275 shares, leaving 331,663 shares available under the repurchase authority.

When does PCB Bancorp's stock repurchase program expire now?

The stock repurchase program now expires on February 1, 2024.

What is a 10b5-1 trading plan in PCB's buyback strategy?

The 10b5-1 trading plan allows PCB to repurchase shares at times when the company is usually restricted from buying due to insider trading laws.

How will the repurchase program affect PCB's stock price?

The stock repurchase program is expected to increase demand for PCB shares, potentially positively impacting the stock price.