First Interstate BancSystem Announces $125M Public Offering

By Tamara Parker • Saturday, June 07 15:29 • Permanent Link

First Interstate BancSystem, Inc. has announced the pricing of its public offering of $125 million aggregate principal amount of 7.625% fixed-to-floating rate subordinated notes due 2035. The interest on the notes will accrue at a rate of 7.625% per annum from the original issue date to, but excluding, June 15, 2030, payable semiannually in arrears, and a floating rate per annum from, and including, June 15, 2030, payable quarterly in arrears. The company estimates that the net proceeds of the offering will be approximately $123.1 million.

The net proceeds of the offering will be used to redeem the company’s existing 5.25% fixed-to-floating rate subordinated notes due 2030 on August 15, 2025, and any remaining proceeds will be used for general corporate purposes.

First Interstate BancSystem, Inc. is a financial and bank holding company focused on community banking. As of now, the company operates banking offices in various states and offers online and mobile banking services. Following these announcements, the company's shares moved 2.54%, and are now trading at a price of $27.89. If you want to know more, read the company's complete 8-K report here.

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