AmeriServ, Provident Bancorp Disclose SBLF Exits

AmeriServ Financial in Johnstown, Pa., and Provident Bancorp in Amesbury, Mass., are the latest community banks to disclose plans to exit the Small Business Lending Fund.

The $1.1 billion-asset AmeriServ said in a press release Monday that it will redeem $21 million in outstanding preferred stock it issued the Treasury Department as part of the SBLF. AmeriServ completed a private placement of nearly $7.7 million in subordinated debt — with a 6.5% fixed interest rate and a December 2025 maturity date — to help pay for the move.

The $699 million-asset Provident said in a separate release that it redeemed all of its 17,145 shares of preferred stock that it issued to the Treasury as part of its SBLF participation. Provident paid about $17.2 million to redeem the shares and address accrued, but unpaid, dividends.

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