Saskatchewan, February 7, 2020—Concentra Bank ("Concentra" or the "Bank") today announced the closing of an offering of $200 million floating rate deposit notes (the "Notes") in the debt capital markets to a broad group of investors. The Notes will mature on February 7, 2022 and will bear interest at a floating rate equal to three-month CDOR plus 47 basis points, reset quarterly. The Notes will rank equally and ratably with all present and future unsecured and unsubordinated liabilities of Concentra and are not eligible for CDIC insurance.
The current rating assigned by DBRS Limited on Concentra's deposits, including the Notes, and senior debt is "A (low)" with a Stable trend.
The issuance of the Notes is consistent with the Bank's strategy to diversify its funding sources and enable the growth of the Bank.
"This successful issuance reflects institutional investors' acknowledgement of Concentra Bank's strength in the capital markets," said Paul Masterson, SVP and Chief Financial Officer. "We're investing in a strong foundation to fuel our growth and this offering showcases our commitment to delivering ongoing value to our employees, owners and customers."
CIBC Capital Markets acted as the sole book runner for the offering.
About Concentra Bank
As Canada's leading provider of wholesale banking and trust solutions to credit unions, Concentra partners with its clients and FinTechs to offer Canadians commercial lending, mortgages, securitization, foreign exchange, cash and treasury management, and leasing solutions. Wealth management offerings from Concentra Trust focus on registered plans, personal and corporate trust services, and estate planning and administration. In 10 years, Concentra aspires to be Canada's leading mid-market commercial bank, while continuing to support the credit union system. Concentra's purpose, "Creating the future of banking, to enable your success," commits the bank to improving its organization, communities and industry.
Deborah Chatterton, Communications Director
This press release does not constitute an offer to sell or the solicitation of any offer to buy securities in any province, state or jurisdiction in which such offer or solicitation would be unlawful prior to registration or qualification under the securities laws of any such province, state or jurisdiction.
The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or delivered, directly or indirectly, or sold in the United States absent an applicable exemption from the registration requirements. This press release does not constitute an offer to sell or the solicitation to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.