Deal sells common stock, convertible preferreds via agent FIG Partners
By Toni Weeks
San Diego, Dec. 24 - Community Financial Shares, Inc. settled a $24 million private placement of stock and convertible preferreds, according to a press release. The company also plans to raise an additional $3 million by issuing up to 3 million shares in a public rights offering.
The company sold 4,315,300 common shares at $1.00 apiece.
The company also sold 133,411 series C preferred shares, 56,708 series D preferred shares and 6,728 series E preferred shares at $100.00 per preferred. The preferreds will all convert to common stock at $1.00 per share.
The purchase price of the common stock and conversion price of the preferreds is an 82.01% discount to the Nov. 12 closing share price of $5.56.
Clinton Group, Inc. and Fullerton Capital Partners, LP are among the investors. FIG Partners LLC is the agent.
The shares sold in the rights offering will also be priced at $1.00 apiece.
Proceeds will be used to redeem the company's $6.9 million of preferred stock, which was issued to the U.S. Department of Treasury under the TARP Capital Purchase Program. Proceeds will also be used to repay debt to a third-party lender, enhance the bank's capital and support the future operational growth of the company.
The parent company of Community Bank-Wheaton/Glen Ellyn is based in Glen Ellyn, Ill.
| Issuer: | Community Financial Shares, Inc.
|
| Issue: | Common stock, series C convertible preferred shares, series D convertible preferred shares and series E convertible preferred shares
|
| Amount: | $24 million
|
| Warrants: | No
|
| Agent: | FIG Partners LLC
|
| Investors: | Clinton Group, Inc., Fullerton Capital Partners, LP
|
| Pricing date: | Nov. 13
|
| Settlement date: | Dec. 24
|
| Stock symbol: | Nasdaq: CFFC
|
| Stock price: | $5.56 at close Nov. 12
|
| Market capitalization: | $23.11 million
|
|
|
| Common shares
|
| Amount: | $4,315,300
|
| Shares: | 4,315,300
|
| Price: | $1.00
|
|
|
| Preferreds
|
| Amount: | $19,684,700
|
| Preferreds: | 196,847 (133,411 series C preferred shares, 56,708 series D preferred shares and 6,728 series E preferred shares)
|
| Price: | $100.00
|
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