EUGENE, Ore.--(BUSINESS WIRE)--Craig Wanichek, President and Chief Executive Officer of Summit Bank (OTC Pink: SBKO), today announced that the bank’s $5,000,000 stock offering has been oversubscribed and closed. The Board of Directors approved a resolution to accept approximately 850,000 shares that were subscribed at $10 per share.
“The Board of Directors believes it was in the best interest of our current and new shareholders to accept the additional capital,” said Paul Weinhold Chair of the Board of Directors. “We are pleased by the number of new shareholders the offering attracted and that we were able to raise this level of capital during this pandemic.”
On April 23, the Summit Bank Board of Directors announced the approval of up to a $6,000,000 stock offering. The Bank began formally receiving Subscription Agreements the morning of Monday, May 4 and the stock offering was oversubscribed by 5:00 p.m.
The capital will be used to support historic and projected growth in conventional loans, as a measure of prudence entering into a time of economic uncertainty and to support the Bank’s Paycheck Protection Plan lending.
The offering was open to new and existing shareholders on a first-come, first-served basis. “The response by our clients and communities we serve was overwhelming,” said Wanichek. “Our plan was to raise $5,000,000 in 30 days. It took less than one business day to become oversubscribed. We are truly humbled and honored by the support.”
With offices in Eugene, Central Oregon and Portland, Summit Bank is a business bank that specializes in providing high-level service to professionals and medium-sized businesses and their owners. Summit Bank is quoted on the Over-the-Counter Bulletin Board as SBKO. Summit is a number one community bank lender in Oregon for SBA Financing. Summit Bank is designated this year as one of the 100 Best Green Companies to Work for in Oregon for efforts in the sustainability area, according to Oregon Business Magazine.
This press release contains certain forward‑looking statements. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control. These forward-looking statements include, but are not limited to, (i) statements about our plans, objectives, expectations and intentions and other statements that are not historical facts, and (ii) other statements identified by words such as “believes,” “expects,” “anticipates,” “estimates,” “intends,” “will,” “plans” or similar words or expressions. Some of the factors that may cause actual results to differ materially from those contemplated by such forward‑looking statements include, but are not limited to, the following possibilities: our ability to execute our business strategy successfully; revenues are lower than expected; credit quality deterioration that could cause an increase in the provision for credit losses; competitive pressure among depository institutions increases significantly; changes in regulatory environment and/or regulatory compliance burden; changes in consumer spending, borrowings and savings habits; a change in the interest rate environment reduces interest margins; asset/liability repricing risks and liquidity risks; general economic conditions, particularly those affecting real estate values, either nationally or in the market areas in which we do business, are less favorable than expected; loss of key personnel; the effects of and changes in monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board; continued volatility in the credit or equity markets and its effect on the general economy; demand for the products or services offered by the Bank; and the costs and effects of legal, accounting and regulatory developments.