BCB Bancorp Inc. completed its private placement of $33.5 million in fixed-to-floating rate subordinated notes due 2028.
For the first five years, the notes bear a fixed rate of 5.625%. After that, the rate will reset quarterly to the then current three-month London interbank offered rate plus 272 basis points.
The Bayonne, N.J.-based company plans to use the net proceeds for general corporate purposes, including improving the liquidity position at the holding company and providing capital to unit BCB Community Bank.
Sandler O'Neill & Partners LP was the sole placement agent for the offering. Luse Gorman PC served as legal counsel to BCB Bancorp, while Hogan Lovells US LLP served as legal counsel to the placement agent.