First Busey Prices Public Offering Of 8M Depositary Shares Representing 8.25% Fixed Rate Series B Preferred Stock At $25 Each, With Proceeds To Redeem 5.25% Subordinated Notes Due 2030 And Support Busey Bank's Balance Sheet Growth

Author: Benzinga Newsdesk | May 14, 2025 09:08am

First Busey Corporation ("Busey") (NASDAQ:BUSE), the holding company for Busey Bank and CrossFirst Bank, announced the pricing of an underwritten public offering of 8,000,000 depositary shares, each representing a 1/40th ownership interest in a share of its 8.25% Fixed Rate Series B Non-Cumulative Perpetual Preferred Stock (the "Series B preferred stock"), with a liquidation preference of $1,000 per share (equivalent to $25.00 per depositary share).

When, as, and if declared by the board of directors of Busey, dividends will be payable on the Series B preferred stock from the date of issuance at a rate of 8.25% per annum, payable quarterly in arrears, on March 1, June 1, September 1 and December 1 of each year, beginning on September 1, 2025. Busey may redeem the Series B preferred stock at its option at a redemption price equal to $25.00 per depositary share, as described in the prospectus supplement and accompanying prospectus relating to the offering.

Net proceeds from the offering are expected to be used to redeem Busey's 5.25% Fixed-to-Floating Rate Subordinated Notes due 2030, and for general corporate purposes including to support balance sheet growth of Busey Bank.

Busey intends to apply to list the depositary shares on the Nasdaq Global Select Market under the symbol "BUSEP."

Piper Sandler & Co., Morgan Stanley & Co. LLC and Keefe, Bruyette & Woods, Inc. are serving as joint bookrunning managers for the offering, and Janney Montgomery Scott LLC is acting as the co-manager.

The Company expects to close the offering, subject to customary conditions, on or about May 20, 2025.

Posted In: BUSE