Patriot National Bancorp Announces Completion of $10M Registered Direct Offering
- Successfully raised $10.66 million in gross proceeds through registered direct offering
- Follows successful March 2025 private placement that raised over $50 million
- Strengthens bank's capital base and financial flexibility
- Demonstrates continued strong investor interest and confidence
- Significant dilution to existing shareholders with issuance of 8.52 million new shares
- Low offering price of $1.25 per share may indicate market concerns
Insights
Patriot Bank strengthens capital position with $10.66M offering, following March's $50M raise, significantly bolstering its financial foundation.
Patriot National Bancorp has completed a $10.66 million registered direct offering by issuing 8.52 million shares at $1.25 per share. This capital raise comes shortly after their March 2025 private placement that generated over $50 million from accredited investors, bringing their total recent capital infusion to more than $60 million.
This substantial capital raise significantly strengthens Patriot Bank's balance sheet, providing a much-needed buffer for potential loan losses and regulatory capital requirements. For a smaller regional bank like Patriot, maintaining strong capital ratios is crucial for operational flexibility and regulatory compliance.
The offering price of $1.25 per share and the substantial 8.52 million new shares indicate significant dilution for existing shareholders - representing substantial ownership redistribution. However, this dilution is offset by the enhanced financial stability and potential for strategic growth initiatives the fresh capital enables.
Steven Sugarman's statement emphasizes using this capital to execute strategic objectives while better serving clients and communities. The back-to-back successful capital raises (private placement followed by registered offering) demonstrate investor confidence in Patriot's management team and business model despite what appears to be challenging circumstances that necessitated such significant capital raising.
The involvement of Performance Trust Capital Partners as adviser suggests professional guidance in structuring this offering to maximize appeal to institutional investors while navigating regulatory requirements.
STAMFORD, Conn., June 05, 2025 (GLOBE NEWSWIRE) -- Patriot National Bancorp, Inc. (NASDAQ: PNBK) (the “Company”), the parent company of Patriot Bank, N.A., today announced that it has successfully completed a registered direct offering of 8,524,160 shares of its common stock at a purchase price of
The registered direct offering follows the Company’s March 20, 2025 private placement that raised over
Steven Sugarman, President of Patriot National Bancorp, stated, “We are pleased by the continued strong investor interest in Patriot Bank. The success of this offering further strengthens the Bank’s capital base and enhances our ability to execute on our strategic objectives. With a significantly reinforced balance sheet, we are well-positioned to serve our clients and communities with greater resilience and flexibility. We appreciate the confidence our investors have placed in our team and our mission.”
The shares of common stock described above were offered and sold pursuant to a shelf registration statement on Form S-3 (File No. 333-287283), which was declared effective by the Securities and Exchange Commission (the “SEC”) on May 22, 2025. A prospectus supplement describing the terms of the registered direct offering has been filed with the SEC and is available on the SEC’s website at www.sec.gov.
Performance Trust Capital Partners, LLC served as capital markets adviser to the Company. Blank Rome LLP and Robinson & Cole LLP served as counsel for the Company.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the Company’s plans, objectives, goals, strategies, business plans, future events or performance. Words such as “anticipates," “believes,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “projects,” “targets,” “designed,” “could,” “may,” “should,” “will” or other similar words and expressions are intended to identify these forward-looking statements. Because forward-looking statements relate to future results and occurrences, they are subject to inherent risks, uncertainties, changes in circumstances and other factors that are difficult to predict. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on the Company’s current beliefs, expectations and assumptions regarding its business, plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Many possible events or factors could affect the Company’s future financial results and performance and could cause its actual results, performance or achievements to differ materially from any anticipated results expressed or implied by such forward-looking statements. Such risks and uncertainties include, among others: (i) the dilution to be caused by the Company’s issuance of additional shares of its capital stock in connection with the offering, (ii) general competitive, economic, political and market conditions, or (iii) other factors that may affect future results of the Company.
Given these factors, you should not place undue reliance on these forward-looking statements. All information set forth in this press release is as of the date of this press release. The Company undertakes no duty or obligation to update any forward-looking statements contained in this press release, whether as a result of new information, future events or changes in its expectations or otherwise, except as may be required by applicable law.
Learn more about Patriot National Bancorp, Inc. at www.bankpatriot.com
Media Inquiries:
Kirsten Hoekman
khoekman@bankpatriot.com
(203) 252-5905
FAQ
How much did Patriot National Bancorp (PNBK) raise in its June 2025 offering?
What was the price per share for PNBK's June 2025 registered direct offering?
How many shares did Patriot National Bancorp (PNBK) issue in the June 2025 offering?
How much did PNBK raise in their March 2025 private placement?
Who served as capital markets adviser for PNBK's June 2025 offering?
