Eagle Bancorp, Inc. Positions for Growth Through Capital Actions
Rhea-AI Summary
Eagle Bancorp, Inc. (NASDAQ: EGBN), the holding company for EagleBank, has announced two strategic actions to position itself for future growth. The company has closed on a private placement of $77.7 million in five-year senior debt maturing on September 30, 2029, and recalibrated its cash dividend for Q3 2024.
CEO Susan G. Riel emphasized the company's focus on advancing its growth strategy and expanding its deposit and loan portfolio diversity. The successful debt issuance, which included $3.9 million invested by Executive Management and the Board of Directors, demonstrates investor confidence in the company's vision.
EagleBank has also announced a cash dividend of $0.165 per share, payable on October 31, 2024, to shareholders of record October 21, 2024. The company will align future dividend announcements with earnings releases, with the next announcement scheduled for late January 2025.
Positive
- Secured $77.7 million in five-year senior debt through private placement
- Executive Management and Board of Directors invested $3.9 million in the debt issuance
- Maintained dividend payout with $0.165 per share for Q3 2024
Negative
- Recalibration of cash dividend may indicate potential reduction in future payouts
News Market Reaction
On the day this news was published, EGBN declined 0.75%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
BETHESDA, Md., Sept. 30, 2024 (GLOBE NEWSWIRE) -- Eagle Bancorp, Inc. (NASDAQ: EGBN), the Bethesda-based holding company for EagleBank, one of the largest community banks in the Washington D.C. area, today announced two actions taken to position itself for future growth. As of September 30, 2024, the Company closed on a private placement of a five-year senior debt totaling
“At EagleBank, our highest priorities are advancing our growth strategy and expanding the diversity of our deposit and loan portfolio.” said Susan G. Riel, Eagle Bancorp President and Chief Executive Officer. “This successful transaction boosts our ability to pursue sustained growth and demonstrates the confidence investors have in our vision and the future of the Company.”
Over the past 18 months, the Company has enhanced its senior management team, taken steps to grow deposits and improve the quality of its funding profile, added to its allowance for credit losses, and expanded the granularity of its CRE office disclosure. The debt issuance received full participation from Executive Management and the Board of Directors who collectively invested a total of
The cash dividend of
About EagleBank
Eagle Bancorp, Inc. is the holding company for EagleBank, which commenced operations in 1998. EagleBank is headquartered in Bethesda, Maryland, and conducts full service commercial banking through more than a dozen offices, located in Suburban, Maryland, Washington, D.C. and Northern Virginia. EagleBank focuses on building relationships with businesses, professionals and individuals in its marketplace.
Caution About Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. These forward-looking statements are based on current expectations that involve risks, uncertainties, and assumptions. Because of these uncertainties and the assumptions on which the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, and other filings with the SEC. Except as required by law, the Company does not undertake to update forward-looking statements contained in this release.
Not an Offer
This press release does not constitute an offer to sell, or a solicitation of an offer to buy, any security of the Company. The senior debt issued in the private placement has not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act.
EagleBank Contact
Vikki Kayne
Chief Marketing Officer
301.986.1800
FAQ
What capital actions did Eagle Bancorp (EGBN) announce on September 30, 2024?
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