Southern National Bancorp of Virginia, Inc. Announces Closing of Subordinated Notes Offering
Southern National Bancorp of Virginia (NASDAQ: SONA) has successfully completed its underwritten offering of $60 million in 5.40% Fixed-to-Floating Rate Subordinated Notes, due in 2030. The proceeds will support general corporate purposes, including working capital, debt repayment, and increasing regulatory capital for Sonabank. As of June 30, 2020, the company reported total assets of $3.1 billion, total loans of $2.5 billion, and total deposits amounting to $2.2 billion. Janney Montgomery Scott and Piper Sandler managed the offering.
- Raised $60 million through subordinated notes offering.
- Proceeds will strengthen financial positioning by supporting growth and regulatory capital.
- Strong asset base: $3.1 billion in total assets as of June 30, 2020.
- Subordinated notes may increase financial leverage and debt obligations.
MCLEAN, Va., Aug. 25, 2020 /PRNewswire/ -- Southern National Bancorp of Virginia, Inc. (NASDAQ: SONA) (the "Company") the parent company of Sonabank, today announced that it had completed its previously announced underwritten offering and sale of its
The Company expects to use the net proceeds of the offering for general corporate purposes, which may include working capital, repaying indebtedness, providing capital to support the growth of Sonabank, and investments in Sonabank as regulatory capital.
Janney Montgomery Scott and Piper Sandler are acting as joint book-running managers and Stephens Inc. is acting as co-manager of the offering.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The offering of Notes was registered under the Securities Act of 1933, as amended, and issued under an effective registration statement on Form S-3 (File No. 333-237909) filed by the Company with the U.S. Securities and Exchange Commission ("SEC"). The offer and sale of the Notes was made only by means of a prospectus supplement and accompanying prospectus related to the offering. Copies of these documents can be obtained without charge by visiting the SEC's website at www.sec.gov, or may be obtained by contacting Janney Montgomery Scott at 404-601-7200 or by email at prospectus@janney.com; Piper Sandler & Co. at 1-866-805-4128 or by email at fsg-dcm@psc.com; and Stephens Inc. at 1-800-643-9691 or by email at FISyndicateStephens@stephens.com. These documents have also been filed with the SEC and are available at the SEC's website at http://www.sec.gov.
About Southern National Bancorp of Virginia, Inc.
As of June 30, 2020, the Company had
Forward-Looking Information
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that relate to future events or the future performance of the Company. Forward-looking statements are not guarantees of performance or results. These forward-looking statements are based on the current beliefs and expectations of the respective management of the Company and Sonabank and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond their respective control, particularly with regard to developments related to the novel coronavirus. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from the anticipated results discussed or implied in these forward-looking statements because of numerous possible uncertainties. Words like "may," "plan," "contemplate," "anticipate," "believe," "intend," "continue," "expect," "project," "predict," "estimate," "could," "should," "would," "will," and similar expressions, should be considered as identifying forward-looking statements, although other phrasing may be used. Such forward-looking statements involve risks and uncertainties and may not be realized due to a variety of factors. Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in the reports (such as Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Registration Statements on Form S-3) filed by the Company. You should consider such factors and not place undue reliance on such forward-looking statements. No obligation is undertaken by the Company to update such forward-looking statements to reflect events or circumstances occurring after the issuance of this press release.
Contact: Dennis J. Zember Jr., CEO
Phone: 804-997-2406 or
Jeffrey L. Karafa, CFO
Phone: 804-997-2404
Southern National Bancorp, NASDAQ Symbol SONA
Website: www.sonabank.com
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SOURCE Southern National Bancorp of Virginia, Inc.
FAQ
What is the purpose of the $60 million raised in the SONA subordinated notes offering?
What are the terms of the subordinated notes offered by Southern National Bancorp?
What is the financial status of Southern National Bancorp as of June 30, 2020?
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