ViewPoint Bank, known until December as Community CU, said last week it plans to raise up to $110 million with an initial public offering of as many as 11 million shares, the biggest IPO yet for a converted credit union. Plans call for the $1.4-billion ex-credit union to establish a mutual holding company that will continue to control 55% of the shares, leaving a minority interest in public hands, according to documents filed with the SEC. As many as one million shares, valued at $10 million, will be reserved for top managers and directors of the former credit union as either restricted stock grants or awards under an employee stock ownership plan; while another one million options will be reserved for the same insiders. The eight directors, including CEO Gary Base, all plan to buy stock in the IPO. Base plans to buy 30,000 shares. Under the offering, Community CU members who had at least $50 on deposit as of Dec. 31, 2004 will have first priority to buy shares, as many as 40,000 each. Second priority will go to tax-qualified employee plans. Third priority to depositors as of March 31, 2006. Remaining shares will be sold to the public at an expected $10 each. The offering is being underwritten by Keefe, Bruyette & Woods, which has underwritten almost every other converted credit union IPO.
-
Backed by tech billionaires, the crypto-focused digital startup bank's timely application reflects the current administration's openness to new tech-driven banking models — and raises concerns about regulatory impartiality, considering its backers' political ties.
July 2 -
The application follows on the heels of Circle and Wise, as crypto and payment companies seek crypto custody approval and direct access to the Federal Reserve payment system.
July 2 -
The credit union regulator, responding to a recent executive order, has established strict new standards for prosecuting financial crimes. Regulators are now supposed to make criminal referrals only in cases where putative defendants appear to have known they were breaking the law.
July 2 -
Three bank trade associations recommended phasing out paper checks to reduce government payment fraud in a joint statement submitted to the U.S. Treasury.
July 2 -
Baton Rouge-based Investar Holding Corp. has agreed to pay $84 million for Wichita Falls Bancshares, which operates five branches in the Dallas-Fort Worth Metroplex.
July 2 -
A federal judge in New York has rejected Huawei's effort to toss charges alleging bank fraud, sanctions violations and trade secrets theft.
July 2