Joint Bookrunner
First Busey Corporation
Debt Capital Markets
Subordinated Notes
Transaction Details
Transaction Details:
- On May 18, 2017, First Busey Corporation announced the pricing of a $40.0 million offering of senior unsecured notes due 2022 and a $60.0 million offering of subordinated notes due 2027
- The senior unsecured notes have a fixed rate of 3.75% and a stated maturity of May 25, 2022. The notes are non-callable
- The subordinated notes are 10-year fixed-to-floating; non-callable for 5 years with a stated maturity of May 25, 2027. The subordinated notes have a fixed rate of 4.75% for the first 5 years, and 3-month LIBOR plus 292 basis points thereafter
Issue ratings:
- Senior Unsecured Notes: BBB+ (Kroll Bond Rating Agency)
- Subordinated Notes: BBB (Kroll Bond Rating Agency)
Use of Proceeds:
- The transaction proceeds will be used to finance a portion of the consideration for the First Community Financial Partners, Inc. and Mid Illinois Bancorp, Inc. mergers, to pay related fees and expenses, and to redeem certain of First Community’s outstanding subordinated debentures. Any remaining net proceeds will be used for general corporate purposes
About the company
As of March 31, 2017, First Busey Corporation (NASDAQ: BUSE) was a $5.4 billion financial holding company headquartered in Champaign, Illinois. Busey Bank offers mortgage loan products through numerous loan production offices across the Midwest and wealth management services through Trevett Capital Partners in southwest Florida. In addition, Busey Bank owns a retail payment processing subsidiary, FirsTech, Inc., which processes approximately 28 million transactions per year and has 3,000 agent locations in 36 states. Busey Wealth Management is a wholly-owned subsidiary of First Busey Corporation with $5.5 billion in assets under care as of March 31, 2017. Through Busey Trust Company, Busey Wealth Management provides asset management, investment and fiduciary services to individuals, businesses and foundations.
Sources: Company documents.
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The offering of these securities is being made only by means of a prospectus, copies of which may be obtained from Stephens Inc.’s Fixed Income Desk, at Stephens Inc., 111 Center Street, Little Rock, AR 72201, ATTN: Fixed Income Desk, or from the Securities and Exchange Commission’s website at www.sec.gov at the following link: https://www.sec.gov/Archives/edgar/data/314489/000104746917003471/a2232022z424b5.htm. Additionally, a copy of the Free Writing Prospectus may be obtained from the following link: https://www.sec.gov/Archives/edgar/data/314489/000110465917033831/a17-12054_4fwp.htm. A registration statement relating to these securities has been filed with the Securities and Exchange Commission. No offer to buy the securities can be accepted and no part of the purchase price can be received until the registration statement has become effective, and any such offer may be withdrawn or revoked, without obligation or commitment of any kind, at any time prior to the notice of its acceptance given after the effective date.