SOURCE: Ambassador Financial Group

Ambassador Financial Group

April 01, 2015 09:42 ET

Ambassador Financial Group, Inc. Announces $5 Million Private Placement of Subordinated Debt on Behalf of York Traditions Bank

ALLENTOWN, PA--(Marketwired - Apr 1, 2015) - Ambassador Financial Group, Inc. today announced the successful completion of a $5 million private placement of subordinated notes for York Traditions Bank (OTC PINK: YRKB), headquartered in York, Pennsylvania, in which it served as the exclusive placement agent. The interest bearing notes, placed with accredited institutional investors, have a maturity date of March 27, 2025 and carry a 6.25% interest rate, to be paid quarterly, with a right of prepayment on or after March 27, 2020.

Founded as a de novo bank in 2002, York Traditions is a $300 million asset bank that has demonstrated consistent loan and deposit growth during the past five years. Management has indicated it plans to use the funding to redeem preferred shares issued under the U.S. Treasury Department's Small Business Lending Fund (SBLF) program.

Jacob Eisen, Ambassador's Head of Capital Markets, commented: "We were pleased to continue serving York Traditions as part of a longstanding relationship between Ambassador and York Traditions extending back to the bank's founding. It was particularly gratifying to assist the bank in replacing SBLF funds as dividend rates on these preferred shares will shortly be re-setting to higher levels."

Michael E. Kochenour, Chairman and CEO of York Traditions, stated: "Our decision to issue subordinated debt was strategic in nature. The offering will enable us to optimize our capital structure, redeem SBLF preferred stock using this new low-cost capital, and to bolster our ongoing path of organic strategic growth. The SBLF funds were instrumental in supporting the bank's growth in recent years and we look forward to building ongoing value for our investors and the York Traditions franchise going forward."

Ambassador Financial Group, Inc. provides investment banking, capital markets, and balance sheet management services to a growing number of banks and thrifts in the United States. The company also provides an extensive suite of investor relations services to its financial institutional clients. Over the past few years, Ambassador Financial Group's successes include:

  • York Traditions Bank (PA) $5 million private placement of subordinated debt
  • Nicolet Bankshares, Inc. (WI) $8 million private placement of subordinated debt
  • Carroll Bancorp (MD) $5.1 million private placement
  • Riverview Financial Corporation (PA) $7.8 million proposed acquisition of Citizens Bank of Meyersdale
  • Farmers and Merchants Bancorp of Western Pennsylvania's (PA) merger with Nextier Inc. (PA)
  • FNBM Financial Corp. (PA) $13.4 million proposed acquisition by GNB Financial Services, Inc. (PA)
  • Sturdy Savings Bank (NJ) proposed acquisition of seven branches from Sun Bancorp, Inc. (NJ)
  • Franklin Security (PA) $16 million acquisition by ESSA Bancorp (PA)
  • First Choice Bank's (NJ) acquisition of Vantage Point Bank (PA)
  • ESSA Bancorp's (PA) branch acquisition from First National Community Bancorp (PA).
  • Haven Bancorp (NJ) $27 million acquisition of Hilltop Community (NJ)
  • Riverview Financial Corporation (PA) consolidation of Union Bancorp (PA)
  • MVB Financial Corporation (WV) $19 million acquisition of Potomac Mortgage Group, LLC (VA)
  • NBT Bancorp (NY) $233 million acquisition of Alliance Financial Corporation (NY)
  • Old Line Bancorp (MD) $49 million acquisition of WSB Holdings (MD)
  • ESSA Bancorp (PA) $24 million acquisition of First Star Bancorp (PA)
  • Capital Bank (MD) branch sale to DNB First, NA (PA)

Ambassador Financial Group, a FINRA registered broker-dealer, headquartered in Allentown, PA, offers a comprehensive suite of strategic, customized solutions to community banks and thrifts nationwide, including balance sheet management, investment banking, investor relations, and capital markets services.

Contact Information

  • Contacts:

    Allentown, PA
    Jacob Eisen, Matt Resch, or Rob Pachence

    Chicago, IL
    Karl J. Ostby

    Rockville, MD
    Dave Danielson