Atlantic Capital Bancshares announced the completion of a private placement of $75 million in subordinated notes bearing a fixed interest rate of 5.5% for the first five years. The notes, set to mature on September 1, 2030, will later transition to a floating rate based on the Three-Month Term SOFR. The company intends to use the proceeds for general corporate purposes, including supporting growth and maintaining regulatory capital ratios. The notes qualify as Tier 2 capital, reinforcing the bank's financial stability.
Atlantic Capital has been recognized as one of the Best Places to Work by the Atlanta Business Chronicle for 2020, marking its second consecutive year receiving this accolade. The evaluation is based on employee surveys assessing workplace culture, compensation, benefits, and trust in leadership. CEO Doug Williams praised the award as a testament to the company's commitment to employee satisfaction despite the challenges of 2020. With total assets of $2.9 billion, Atlantic Capital is a publicly-traded bank holding company serving Atlanta and select national clients.
Atlantic Capital Bancshares (NASDAQ: ACBI) reported net income of $1.8 million for Q2 2020, down from $7.0 million in Q2 2019. Earnings per diluted share were $0.09, compared to $0.29 a year ago. Key highlights include a 52.1% annualized increase in total loans, driven by $234 million in PPP loans, and average deposits rising by 27.6% annualized. However, net interest margin decreased to 3.23%, impacted by lower loan yields and the addition of lower-yielding PPP loans. Allowance for credit losses rose to 1.61% of total loans, indicating prudent risk management amid economic uncertainty.
Atlantic Capital Bancshares (ACBI) will release its second quarter financial results on July 23, 2020, after market close. A conference call to discuss these results is scheduled for July 24, 2020, at 9:00 a.m. ET. Participants can join by dialing 1-877-270-2148 for domestic calls or 1-412-902-6510 for international calls. The call will also be available via webcast on the company's Investor Relations page. Atlantic Capital, a bank holding company with $2.7 billion in assets, offers various banking services to clients.
Atlantic Capital held its 2nd Annual Community 5K virtually on June 13-14, raising over $26,000 for the Grove Park Foundation, aimed at supporting a community severely impacted by COVID-19. The funds will assist in providing essential services and helping residents cope with economic hardships. The race attracted 204 participants from eight states, expanding its reach beyond Atlanta. Atlantic Capital has been committed to the Grove Park neighborhood for over six years, supporting community revitalization through banking services and financial expertise.