CHICAGO, Oct. 2 /PRNewswire-FirstCall/ -- PrivateBancorp, Inc.
(Nasdaq: PVTB) today announced that it has completed credit facility
comprising $20 million senior holding company debt and a $120 million
subordinated debt facility issued by The PrivateBank and Trust Company. This
$140 million credit facility replaces an existing $95 million credit facility.
The proceeds from the subordinated debt will be used to support the
ongoing implementation of PrivateBancorp's Strategic Growth Plan. The senior
debt will be for general corporate purposes.
SunTrust Robinson Humphrey, Inc. served as joint lead arranger and sole
book runner. Banc of America Securities LLC also served as joint lead
arranger.
The subordinated debt qualifies as Tier 2 capital under banking rules and
regulations and was sold to commercial banks pursuant to a subordinated debt
loan agreement, which includes customary representations, warranties,
covenants, and events of default. The subordinated debt matures on September
26, 2015. The PrivateBank, with regulatory approval, can prepay the
subordinated debt without penalty at any time. The interest rate for the
subordinated debt is floating at LIBOR plus 3.50 percent, or 6.98 percent at
closing. The debt is unsecured and subordinate to all other categories of
creditors, including general creditors.
About PrivateBancorp, Inc.
PrivateBancorp, Inc. is a growing diversified financial services company
with 22 offices in nine states and more than $7.5 billion in assets as of June
30, 2008. Through its subsidiaries, PrivateBancorp delivers customized
business and personal financial services to middle-market commercial and
commercial real estate companies, as well as business owners, executives,
entrepreneurs and wealthy families. To learn more, visit us at
http://www.theprivatebank.com.
SOURCE PrivateBancorp, Inc.
