Cheviot Gives Stock Subscribers Option to Buy More Shares

An Ohio thrift that is in the process converting to 100% stock-owned company is giving initial subscribers to its public offering the option to buy up more shares.

In a news release Wednesday, Cheviot Financial Corp. said that otherwise its initial subscription offering is closed and that other interested investors have until 2 p.m. on Dec. 30 to buy up shares.

The $600 million-asset Cheviot is currently structured as a mutual holding company with less than 40% of its shares owned by the public. Once the stock sale is completed, the mutual holding company would be dissolved and Cheviot's shares would be entirely publicly owned.

The company is offering up to 6.3 million shares at $8 each, which would result in net proceeds of up to $50.6 million. The company said it must sell a minimum of 4,675,000 shares in order for the conversion to be approved.

Individual subscribers that have already participated in the offering could initially buy no more than 75,000 shares, but Cheviot said Wednesday that those subscribers can now purchase up to 5% of the outstanding shares. Groups that previously were limited to 137,500 shares can now also buy up to 5% of the shares.

Any investor looking to acquire more than 5% of the shares would need approval from the Federal Reserve Board, Cheviot said.