Independent Bank again extends exchange deadline for trust preferreds

By Jennifer Chiou

New York, May 28 - Independent Bank Corp. announced an extension to 11:59 p.m. ET on June 22 for the early deadline as well as the exchange expiration date for its offer to issue up to 180.2 million new common shares for the following series of trust preferred securities:

• $50.6 million liquidation amount of 8.25% cumulative trust preferreds issued by IBC Capital Finance II with a total exchange value of $22.65 per $25.00 preferred, including an early tender premium of $1.25;

• $12 million liquidation amount of floating-rate trust preferreds issued by IBC Capital Finance III with a total exchange value of $861.11 per $1,000 preferred, including an early tender premium of $50.00;

• $20 million liquidation amount of floating-rate trust preferreds issued by IBC Capital Finance IV with a total exchange value of $864.54 per $1,000 preferred, including an early tender premium of $50.00; and

• $7.5 million liquidation amount of floating-rate trust preferreds issued by Midwest Guaranty Trust I with a total exchange value of $871.26 per $1,000 preferred, including an early tender premium of $50.00.

As of 4 p.m. ET on May 27, 298,489 shares representing an aggregate liquidation amount of $7.5 million of the trust preferreds had been tendered for exchange.

Earlier in May, the early deadline had been extended to coincide with the 11:59 p.m. ET on June 1 offer deadline. Prior to that, the early tender deadline had been slated for May 17.

The offer began on April 23.

The company said that it believes a high level of participation from its holders is critical to its capital restoration plan.

Independent added that it continues to exercise its right to defer quarterly payments on all of the trust preferreds, stating that it does not anticipate resuming the payments at any time in the near future, regardless of the level of participation in the exchange offer.

The Ionia, Mich.-based bank holding company said that it will issue a number of shares per preferred with a dollar value equal to the exchange amount noted above for that series.

D.F. King & Co., Inc. is the information agent (800 431-9643 or call collect 212 269-5550).

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