Mandatorily convertible perpetual preferreds convert at $0.70 a share
By Devika Patel
Knoxville, Tenn., Dec. 30 - FNBH Bancorp, Inc. increased its private placement of series B mandatorily convertible non-cumulative junior participating preferred stock to about $17.5 million on Dec. 11, according to an 8-K filed Monday with the Securities and Exchange Commission. The deal, which settled Dec. 11, priced for $7.5 million on June 14 and was previously increased to $17.1 million on Aug. 7.
The company sold about 17,500 preferreds at $1,000 per preferred.
The preferreds are convertible into common stock at $0.70 per share, which is a 72% discount to the June 13 closing share price of $2.50. The securities are convertible into about 25 million shares.
Stanley B. Dickson, Jr. was expected to invest $7.5 million, the company said at pricing.
FNBH is a Howell, Mich., bank holding company.
| Issuer: | FNBH Bancorp, Inc.
|
| Issue: | Series B mandatorily convertible non-cumulative junior participating preferred stock
|
| Amount: | $17.5 million (approximate)
|
| Preferreds: | 17,500 (approximate)
|
| Price: | $1,000
|
| Conversion price: | $0.70
|
| Conversion ratio: | Into about 25 million shares
|
| Conversion premium: | 72%
|
| Warrants: | No
|
| Investor: | Stanley B. Dickson, Jr. (for $7.5 million)
|
| Pricing date: | June 14
|
| Upsized: | Aug. 7, Dec. 11
|
| Settlement date: | Dec. 11
|
| Stock symbol: | OTCBB: FNHM
|
| Stock price: | $2.50 at close June 13
|
| Market capitalization: | $796,250
|
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