GREENVILLE, S.C., June 03, 2020 (GLOBE NEWSWIRE) -- United Community Banks, Inc. (NASDAQ: UCBI) today announced that it priced an underwritten public offering of 4,000,000 depositary shares with a liquidation value of $25.00 per share for gross proceeds of $100 million before deducting underwriting discounts and other estimated offering expenses. Each Depositary Share represents a 1/1000th interest in a share in United’s 6.875% Non-Cumulative Perpetual Preferred Stock, Series I, $1.00 par value, with a liquidation preference of $25,000 per share. The offering is expected to close on June 10, 2020, subject to customary closing conditions.
When, as and if declared by the board of directors or a duly authorized committee of the board, United will pay cash dividends on the Series I Preferred Stock, at an annual rate of 6.875% on the liquidation preference amount of $25,000 per share of Series I Preferred Stock (equivalent to $25.00 per Depositary Share per year), quarterly in arrears, on March 15, June 15, September 15 and December 15 of each year (each, a “dividend payment date”), beginning on September 15, 2020. Dividends on the Series I Preferred Stock will not be cumulative and will not be mandatory. United may redeem the Series I Preferred Stock in whole or in part, from time to time, on or after September 15, 2025, or following certain events involving capital treatment as described in the prospectus supplement and accompanying prospectus relating to the offering, at a cash redemption price equal to $25,000 per share of Series I Preferred Stock (equivalent to $25 per Depositary Share) plus any declared and unpaid dividends, and without accumulation of any undeclared dividends, to, but excluding, the redemption date. The Series I Preferred Stock will not have voting rights, except in the limited circumstances described in the prospectus supplement and accompanying prospectus relating to the offering, and as specifically required by Georgia law.
Application will be made to list the Depositary Shares representing interests in the Series I Preferred Stock on the Nasdaq Global Select Market (“Nasdaq”) under the symbol “UCBIO”. If approved for listing, it is expected that the Depositary Shares will begin trading on Nasdaq within 30 days after they are first issued.
Keefe, Bruyette & Woods, A Stifel Company, BofA Securities, Morgan Stanley and Wells Fargo Securities are acting as joint book-running managers and US Bancorp is acting as co-manager.
About United Community Banks, Inc.
United Community Banks, Inc. (NASDAQ: UCBI) (“United”) is a bank holding company headquartered in Blairsville, Georgia, with executive offices in Greenville, South Carolina. United is one of the largest full-service financial institutions in the Southeast, with $13.1 billion in assets, and 149 offices in Georgia, North Carolina, South Carolina and Tennessee. It operates principally through United Community Bank, its bank subsidiary, which specializes in personalized community banking services for individuals, small businesses and companies. Services include a full range of consumer and commercial banking products, including mortgage, advisory, and treasury management. Respected national research firms consistently recognize United Community Bank for outstanding customer service. For six of the past seven years, J.D. Power has ranked United Community Bank first in customer satisfaction in the Southeast, and most recently, awarded United Community Bank the highest score in overall satisfaction in the Southeast for 2020. In 2019, Forbes magazine included United Community Bank in its inaugural list of the World’s Best Banks, and in 2020, recognized United Community Bank for the seventh consecutive year on its list of the 100 Best Banks in America. United Community Bank also received the 2019 Greenwich Excellence Award for overall satisfaction in Middle Market Banking in the South and Small Business Banking Excellence Awards for both overall satisfaction and cash management in the South. Additional information about United and United Community Bank can be found at www.ucbi.com.
