If You Invested in First Gty Bancsh (FGBIP)

First Guaranty Bancshares, Inc. 6.75% Series A Fixed-Rate Non-Cumulative Perpetual Preferred Stock (trading on Nasdaq under the symbol FGBIP) represents depositary shares, each corresponding to a 1/40th interest in a share of First Guaranty Bancshares, Inc.’s 6.75% Series A Fixed-Rate Non-Cumulative Perpetual Preferred Stock. These preferred securities are issued by First Guaranty Bancshares, Inc., the holding company for First Guaranty Bank, a Louisiana state-chartered bank.

According to company disclosures, First Guaranty Bank was founded in 1934 and is based in Hammond, Louisiana. It is described as offering a wide range of financial services, focusing on building client relationships and customer service, and operating dozens of locations across Louisiana, Texas, Kentucky and West Virginia. First Guaranty Bancshares, Inc.’s common stock trades on Nasdaq under the symbol FGBI, while the FGBIP symbol is used for the depositary shares tied to the 6.75% Series A preferred stock.

The preferred stock associated with FGBIP is characterized in SEC filings as fixed-rate, non-cumulative, and perpetual. “Fixed-rate” indicates that the dividend rate on the preferred shares is set at 6.75% of the stated liquidation preference of the underlying preferred stock. “Non-cumulative” means that if the issuer’s board does not declare a dividend for a given period, that unpaid amount does not accumulate for future payment. “Perpetual” indicates that the preferred stock has no stated maturity date, although it may be subject to redemption or other corporate actions as described in its governing documents.

SEC filings and company announcements show that First Guaranty’s board has repeatedly declared quarterly cash dividends on the Series A Preferred Stock, with distributions flowing through to holders of the FGBIP depositary shares. For example, an 8-K filed in October 2023 reported a quarterly distribution of $0.421875 per depositary share, resulting from a $16.875 per share quarterly cash dividend on the Series A Preferred Stock. Later 8-K filings from 2025 again reference quarterly distributions of $0.421875 per depositary share on the same 6.75% Series A Fixed-Rate Non-Cumulative Perpetual Preferred Stock.

First Guaranty Bancshares, Inc. positions FGBIP as part of its broader capital structure, alongside its common equity (FGBI) and other financing instruments such as subordinated notes and private placements described in recent 8-K filings. The company has used a mix of common stock issuance, exchanges of subordinated notes for equity, and preferred stock dividends as tools to manage capital and funding. These activities are documented in detail in its SEC reports, including 8-K and 8-K/A filings that discuss private placements, exchange agreements, and amendments to subordinated notes.

While First Guaranty Bancshares, Inc. is categorized in the savings institutions and broader finance and insurance sector, FGBIP specifically reflects an investment in the issuer’s preferred equity rather than its common stock. Holders of FGBIP depositary shares have an indirect interest in the Series A preferred stock and its dividend rights, as described in the company’s filings. The depositary structure allows investors to trade fractional interests (1/40th per depositary share) of the underlying preferred shares on Nasdaq.

Company news releases highlight First Guaranty’s long operating history, its focus on community banking through multiple branches, and its practice of paying consecutive quarterly dividends on common stock. Separate announcements and SEC filings emphasize the ongoing payment of preferred stock dividends, including to holders of the FGBIP depositary shares. Together, these disclosures provide context for how FGBIP fits into the issuer’s overall approach to capital, funding, and shareholder distributions.