Amerant Bancorp sets $19 price for stock offering

CORAL GABLES, Fla. - Amerant Bancorp Inc. (NYSE:AMTB), the Florida-based banking institution, has set the public offering price for its 7.9 million shares of Class A common stock at $19 each, aiming to raise $150 million. The bank also provided underwriters a 30-day option to purchase up to an additional 784,210 shares at the same price, minus underwriting discounts.

The offering, managed by Stephens Inc. and Piper Sandler & Co. as joint book-running managers, with Keefe, Bruyette & Woods, and Raymond James & Associates serving as co-managers, is expected to close on or about September 27, 2024, subject to standard closing conditions.

Amerant Bancorp, which has been operating since 1979, intends to allocate the net proceeds from this offering to general corporate purposes to support its continued growth. This includes enhancing working capital, investing in its subsidiary Amerant Bank, N.A., addressing non-performing loans, and exploring potential balance sheet optimization strategies.

Investors interested in the offering can access the prospectus supplement and accompanying base prospectus filed with the U.S. Securities and Exchange Commission (SEC) by visiting the SEC website or by contacting the managing firms directly. The securities are being offered solely by these documents, and the sale is contingent upon registration or qualification under the applicable securities laws.

The bank emphasizes that this press release is purely informational and should not be considered an offer to sell or a solicitation of an offer to buy the securities in any jurisdiction where such an action would be unlawful.

Amerant Bancorp operates primarily through Amerant Bank, N.A., its main subsidiary, along with other subsidiaries like Amerant Investments, Inc., Elant Bank and Trust Ltd., and Amerant Mortgage, LLC. It offers deposit, credit, and wealth management services to individuals and businesses, with a strong presence in Florida and Texas.

This news is based on a press release statement and contains forward-looking statements regarding the offering and its potential uses, which are subject to market conditions and other factors that could cause actual results to differ materially from those projected.

In other recent news, Amerant Bancorp Inc. has reported a mix of growth and challenges in its second quarter 2024 earnings. The bank has noted an increase in net interest income and margin, along with a 34% rise in non-interest income. However, a slight decrease in total deposits and an increase in non-performing loans were also recorded.

Simultaneously, Amerant Bancorp has initiated an underwritten public offering of its Class A voting common stock, with Stephens Inc. and Piper Sandler & Co. acting as joint book-running managers. The offering aims to bolster organic growth and address non-performing loans, among other corporate purposes.

In terms of mergers and acquisitions, the company has received regulatory approval for the sale of its Houston operations to MidFirst Bank. This transaction, which includes six Amerant Bank branches, is expected to finalize in November 2024. Post-acquisition, the Houston employees of Amerant Bank will transition to MidFirst Bank. These are some of the recent developments for Amerant Bancorp.

InvestingPro Insights

In the context of Amerant Bancorp Inc.'s (NYSE:AMTB) recent public offering, current market data and analysis from InvestingPro offer a snapshot of the company's financial health and stock performance. As of the second quarter of the last twelve months, Amerant Bancorp had a market capitalization of approximately $698.51 million, reflecting the scale of the institution within the financial sector.

The bank's stock has experienced volatility, with a notable decline of 7.62% in the past week. This movement aligns with the InvestingPro Tips, which highlight that the stock has taken a significant hit recently. Meanwhile, Amerant Bancorp's P/E ratio stands at 34.44, indicating a high earnings multiple that may suggest investor expectations of future growth or a premium valuation compared to industry peers.

Despite these challenges, analysts remain optimistic about the company's profitability, predicting Amerant will be profitable this year, a sentiment supported by the company's performance over the last twelve months. For investors considering the stock, it's noteworthy that the bank has a dividend yield of 1.73%, potentially offering a stream of income alongside capital appreciation opportunities.

For those seeking deeper insights, InvestingPro provides additional InvestingPro Tips for Amerant Bancorp, which can be accessed directly through the platform's dedicated page for the company at https://www.investing.com/pro/AMTB. This includes a total of 6 tips, offering a more comprehensive analysis to aid in investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.