Southside Bancshares in Tyler, Texas, has increased the size of its subordinated-debt offering.
The $5 billion-asset company said in a press release Thursday that due to market demand it increased the principal amount of the fixed-to-floating subordinated notes from $75 million to $100 million. The offering is set to close on Monday.
The notes will bear a fixed interest rate at 5.5% until Sept. 30, 2021, when the rate will adjust to Libor plus 4.2%. The notes will mature in 2026.
Southside said it plans to use the net proceeds for general corporate purposes, which may include advances to its subsidiaries.
Sandler O'Neill is the bookrunning manager; Brean Capital is the joint lead manager.