Additional $80 Million Unsecured Senior Notes

NexBank is a Dallas-based financial service provider. It offers customized commercial banking, mortgages, and institutional banking solutions to customers. NexBank’s primary customers include financial institutions, corporations, SME, and real estate investors. Recently, NexBank raised issued $80 million after reopening its initial offering. In 2016, NexBank had issued $75 million unsecured senior notes. The recent issue will, therefore, bring the total issuance to $155 million.

The notes will mature on March 16, 2026, but they are callable from March 15, 2021. They have a fixed interest of 5.5% for the initial five years, then, thereafter, at a floating rate determined by a spread higher than the three-month LIBOR of 435.5 basis points. According to Kroll Bond Rating Agency, the notes have a stable outlook. The Agency has assigned the notes an investment rating of BBB. Sandler O’Neill & Partners, L.P. was the sole placement agent for the notes issuance.

NexBank plans to use the proceeds of the offering to repay its debt as well as fund its organic growth. According to the NexBank’s statement, the oversubscribed placement and the positive rating, are indications of investor confidence in the Bank. John Holton, NexBank’s President reiterated the positive financial track record that the Bank has had over the years.

NexBank Capital, Inc. had total assets worth $4.64 billion as at December 31, 2016. This represents a 71% growth from the previous year (2015). NexBank Capital continues to rely on NexBank SSB, the banking subsidiary, to contribute to its strong financial performance.

The Bank continues to leverage the diverse experience of its top leadership to deliver value to its stakeholders. Its top executives comprise of business leaders and industry-leading professionals. Under the stewardship of Chairman James Dondero and other senior executives, NexBank’s clients continue to enjoy unequaled access to customized financial solutions.