#United States #Carmel #Merchants Bancorp #Nasdaq MBIN #Preferred Stock

Merchants Bancorp Successfully Completes Depositary Share Offering

Merchants Bancorp, the parent company of Merchants Bank of Indiana and listed on Nasdaq as MBIN, has recently announced the successful closure of its underwritten public offering. This significant financial maneuver involved 9.2 million depositary shares, each representing a 1/40th interest in 7.625% Fixed Rate Series E Non-Cumulative Perpetual Preferred Stock, commonly known as the Series D preferred stock.

Details of the Offering

The liquidation preference per depositary share was established at $25.00. Through this offering, Merchants Bancorp has raised an impressive total of approximately $222.8 million after accounting for estimated expenses, underwriting discounts, and commissions. This capital infusion is expected to bolster the bank's future operations and expansion initiatives.

The offering was managed by a team of established financial firms including Morgan Stanley Co. LLC, UBS Securities LLC, Piper Sandler Co., and Raymond James Associates, Inc., who acted as joint bookrunners. This collaboration reflects confidence in Merchants' business strategy and market position.

Previous Preparations

Prior to the offering, Merchants Bancorp had filed a shelf registration statement with the Securities and Exchange Commission (SEC), which was declared effective on August 17, 2022. This strategic move ensured that they were well-prepared to enter the public market when conditions were favorable. A prospectus supplement related to this offering has also been filed, making it easier for interested investors to understand the terms and implications of the offering.

For those interested in obtaining a copy of the prospectus, it can be accessed directly from the SEC's website or requested from the underwriting banks involved. This transparent approach is fundamental in maintaining trust and clarity within the financial markets.

About Merchants Bancorp

Merchants Bancorp is not only recognized for its sound performance but also ranks among the top performing U.S. public banks, as noted by SP Global Market Intelligence. Based out of Carmel, Indiana, the bank operates across several segments, boasting a diverse portfolio that includes multi-family mortgage banking and traditional community banking services.

As of September 30, 2024, Merchants Bancorp managed assets totaling $18.7 billion, alongside deposits of $12.9 billion. This solid financial foundation places them in a competitive position to continue expanding their services and reach new markets.

Their business segments include:

• - Multi-family Mortgage Banking: Offering financing and servicing solutions, particularly for multi-family housing and healthcare facilities.
• - Mortgage Warehouse Financing: Providing crucial financing for mortgage lenders, as well as commercial loans and deposit services.
• - Community Banking Services: Engaging actively in portfolio lending and small business support, demonstrating their commitment to community development.

By continuously innovating and adapting to market demands, Merchants Bancorp aims to enhance its service offerings while remaining a reliable partner for its customers.

Conclusion

In summary, Merchants Bancorp has successfully closed its latest depositary share offering, gathering substantial financial resources that strengthen its future growth trajectory. This strategic decision highlights the bank's ongoing commitment to enhancing its market presence while ensuring its operational needs are met effectively. As they move forward, the investment community will keenly observe how these resources will be leveraged to expand their diverse banking solutions.