Welcome to our dedicated page for VersaBank Common Shares news (Ticker: VBNK), a resource for investors and traders seeking the latest updates and insights on VersaBank Common Shares stock.
VersaBank (TSX: VBNK, NASDAQ: VBNK) is a pioneering financial institution headquartered in London, Ontario. Recognized as the world's first fully digital bank, VersaBank employs a highly efficient business-to-business model that leverages state-of-the-art financial technology. This unique approach enables the bank to source deposits, consumer loans, commercial loans, and leases electronically, targeting underserved segments of the Canadian banking market.
Founded as a provincially licensed trust company in 1979 and granted a Schedule I license under the Bank Act (Canada) in 2002, VersaBank has consistently innovated to maintain robust profitability while mitigating risk. The bank focuses on providing innovative deposit and lending solutions for financial intermediaries, which in turn, allows those entities to excel in their core businesses.
VersaBank's operations are not confined to traditional banking methods. The bank also makes residential development and commercial mortgages through a well-established network of brokers and direct interactions with its lending staff. Their advanced IT security software, developed internally, led to the creation of DRT Cyber Inc., a wholly-owned subsidiary based in Washington, DC, focusing on large-market opportunities in cybersecurity.
In recent news, VersaBank reported strong performance for the third quarter of fiscal 2023, with net income reaching $10 million and significant growth in its loan portfolio. The year-over-year increase in net income was 75%, driven by the expansion of their innovative Point-of-Sale Financing portfolio. The bank's risk mitigation strategies and operating leverage have resulted in unmatched efficiency and return on common equity within the North American banking industry.
VersaBank's total regulatory capital at the end of this period stood at $460 million, reflecting consistent growth. Their net interest margin, although temporarily compressed due to higher rates on term deposits, remains robust, contributing to an all-time high net interest income of $24.9 million for the quarter.
The bank is also in the process of acquiring a US national OCC-chartered bank, a move expected to significantly bolster their Receivable Purchase Program in the United States. This acquisition is anticipated to drive total assets to transformative levels, further enhancing profitability and operational efficiency.
The VersaBank stock is traded on the Toronto Stock Exchange and Nasdaq under the symbol VBNK, and its Series 1 Preferred Shares under the symbol VBNK.PR.A. VersaBank continues to push the boundaries of digital banking, aiming for superior net interest margins and prudent risk management.
VersaBank (NASDAQ: VBNK) has completed its public offering of common shares, selling 5,660,378 shares at US$13.25 per share. The offering generated gross proceeds of US$75 million before underwriting discounts and costs. The bank granted underwriters an over-allotment option for up to 15% additional shares, exercisable until January 15, 2025.
The net proceeds will be used for general banking purposes and will qualify as Common Equity Tier 1 capital. Raymond James & Associates served as the sole bookrunning manager, with Keefe, Bruyette & Woods and Roth Canada as co-managers. The shares were offered through a prospectus supplement dated December 16, 2024, to the bank's short form base shelf prospectus dated November 22, 2024.
VersaBank (VBNK) has announced the pricing of its public offering of 5,660,378 common shares at US$13.25 per share, expecting to raise gross proceeds of US$75,000,009. The bank has granted underwriters a 30-day over-allotment option for an additional 15% of common shares. The offering, expected to close around December 18, 2024, will be used for general banking purposes and qualify as Common Equity Tier 1 capital. Raymond James & Associates is acting as sole bookrunning manager, with Keefe, Bruyette & Woods and Roth Canada as co-managers.
VersaBank (VBNK) has announced a public offering of common shares, filing a preliminary prospectus supplement to its base shelf prospectus dated November 22, 2024. The offering includes an over-allotment option allowing underwriters to purchase up to an additional 15% of shares within 30 days. Raymond James & Associates is the sole bookrunning manager, with Keefe, Bruyette & Woods and Roth Canada as co-managers.
The net proceeds will be used for general banking purposes and will qualify as Common Equity Tier 1 capital. The offering's closing is subject to customary conditions, including listing approvals on Nasdaq and TSX. The offering documents are available on SEDAR+ and EDGAR.
VersaBank (TSX: VBNK) (NASDAQ: VBNK) has announced key executive transitions to support its US Receivable Purchase Program (RPP) expansion. Nick Kristo, Mike Dixon, and David Robinson, who were instrumental in the Canadian RPP's success, have been appointed to lead VersaBank USA operations. The Canadian RPP portfolio achieved a 27% CAGR over five years and provided C$10.5 billion in financing with zero loan losses.
To maintain Canadian operations, David Thoms has been appointed SVP, Point of Sale Financing, and Saad Inam as Chief Credit Officer for VersaBank Canada. The company aims to capitalize on the multi-trillion-dollar US point of sale market throughout 2025 while continuing growth in the Canadian market.
VersaBank reported its Q4 and fiscal 2024 results, highlighting the acquisition of Stearns Bank Holdingford for US$14.1 million, which was renamed VersaBank USA. Total assets increased 15% YoY to $4.8 billion, driven by growth in Digital Banking Operations. Q4 net income was $5.5 million ($0.20 per share), impacted by $5.6 million in one-time costs related to the U.S. acquisition.
The bank's Point of Sale Receivable Purchase Program portfolio grew 15% YoY. Net interest margin decreased to 2.12% in Q4, while maintaining one of the highest margins among Canadian Schedule I banks. The provision for credit losses remained negligible at -0.01%. Total revenue for Q4 was $27.3 million, down 6% YoY but up 1% sequentially.
VersaBank (TSX: VBNK) (NASDAQ: VBNK) has announced a quarterly cash dividend of CAD $0.025 per Common Share for the quarter ending January 31, 2025. The dividend will be payable on January 31, 2025, to shareholders of record as of January 10, 2025. The company confirmed these dividends qualify as eligible dividends for tax purposes.
VersaBank (TSX: VBNK) (NASDAQ: VBNK) has announced it will release its fourth quarter and fiscal 2024 year-end financial results on Monday, December 9, 2024, at 7:00 a.m. ET. The company will host a conference call and webcast at 9:00 a.m. ET, featuring a presentation by President & CEO David Taylor and CFO John Asma, followed by a Q&A session. The event is expected to last approximately 60 minutes. Multiple access options are available, including automated callback registration, direct dial-in, and webcast viewing. The presentation materials will be available on the Bank's website, and replay options will be accessible until January 9, 2025.
VersaBank's subsidiary DRT Cyber Inc.'s Penetration Testing division, Digital Boundary Group (DBG), has achieved SOC2 Type 1 Certification. This certification validates DBG's compliance with SOC Trust Services Criteria for Security, enhancing customer confidence in their cybersecurity services, particularly for regulated industries. The certification process, developed by AICPA and audited by Ernst & Young, evaluates how organizations manage customer data according to Trust Services Principles including Security, Availability, Processing Integrity, Confidentiality, and Privacy.
VersaBank (TSX: VBNK; NASDAQ: VBNK) has announced its participation in the 13th Annual ROTH Technology Conference taking place in New York City from November 19-20, 2024. The bank's management team will engage in one-on-one meetings throughout the conference. The event is exclusively for ROTH's institutional clients and requires an invitation. Interested parties can contact their ROTH sales representative or email registration@roth.com to express interest and confirm participation.
VersaBank (TSX: VBNK) (NASDAQ: VBNK) has announced its participation in the KBW Fintech Conference scheduled for November 13-14, 2024, in New York City. David Taylor, President and CEO, will be featured on a panel discussing The Future of Fintech-Bank Partnerships on November 13 at 1:25 p.m. ET. The panel discussion will be exclusively available for in-person attendees. The bank's management team will also conduct one-on-one meetings throughout the conference, with interested parties directed to contact their KBW representative for scheduling.
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