The organizers of the Heritage Bank, N.A. announced today a public stock offering to fund the formation of a new commercial bank in the New York metropolitan area has commenced with the approval of its S-1 (“offering circular”) by the Office of the Comptroller of the Currency (“OCC”).
Heritage Bank (In Organization) is offering for sale a minimum of 6 million and maximum of 8.5 million shares of common stock at a price of $10.00 per share. To participate in the offering, investors must subscribe to a minimum of 2,500 shares, which is a $25,000 investment. The bank’s total capital raise is targeted at $60-85 million, and $102 million inclusive of an over-allotment.
Presently, 78 organizers, a group that includes all board members and executives, have committed $28 million toward this goal.
"When Heritage Bank achieves its minimum capital raise of $60 million, we will have raised more capital than any de novo bank in the history of the State of New York," explains David Bagatelle, President and CEO of Heritage Bank. "The record goal certainly makes collecting subscription agreements from investors a priority, but I should also note that the founding group and executive management are simultaneously driving the preparation of bank operations, which will be the key component of the final regulatory examinations for our charter.”
Daniel M. Healy, Chairman of Heritage Bank comments, “In addition to organizer commitments, interest from private equity firms has been strong. While it’s not typical for private equity firms to explore de novo banks, the parties we are meeting with are attracted by the experience of our executives and the potential of our business plan, particularly in the New York metropolitan market where there has been disruption.”
Public stock offering presentations for potential investors have been scheduled throughout July, 2008. A list of the events has been posted at the company website, www.heritagebankny.com/events.htm. Those interested in attending can RSVP online.
Heritage Bank (In Organization) received conditional approval of its charter application on June 12, 2008 from the "OCC" as well as conditional approval of its FDIC application on July 2, 2008. Subject to the receipt of final regulatory approvals, the Bank proposes to begin operations during late summer or early fall, 2008.
The Bank’s initial offices will be located in midtown Manhattan, Long Island and Brooklyn, New York. Each office will contain multiple private commercial banking teams.
The bank in organization is led by an experienced team of New York City banking executives, each of whom has a strong track record of serving privately owned businesses and the middle market in the New York metropolitan area.
David S. Bagatelle will serve as President and Chief Executive Officer. Bagatelle is a former Executive Vice President of Signature Bank and a member of its founding group. Daniel M. Healy will serve as Chairman of the Board. He is a former North Fork Bancorporation Executive Vice President and Chief Financial Officer and director. The Vice Chairman of the Board is Raymond A. Nielsen, who was the former lead-independent director at North Fork. He was also the former President, Chief Executive Officer and director of Reliance Bancorp.
Additional executives include: Michael S. Carleton, Executive Vice President and Chief Operating Officer; Gerard A. Perri, Executive Vice President and Chief Financial Officer and Treasurer; and Joseph R. Harpster, Executive Vice President and Chief Credit Officer.
Please visit www.heritagebankny.com for additional information.
This press release is not an offer to sell or a solicitation of an offer to buy stock of Heritage Bank, N.A. (In Organization), which will be made only by means of the Bank’s prospectus filed with the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation. To the extent that this press release contains forward looking statements, those statements will be subject to the limitations contained in the prospectus.
Contacts:
Adam Moskowitz, 212-421-0030
amoskowitz@heritagebankny.com
