Mid-Southern Bancorp Inc., the proposed stock holding company for Salem, Ind.-based Mid-Southern Savings Bank FSB (MHC), will be one of the most overcapitalized public U.S. thrifts upon completion of its second-stage mutual conversion. It plans to raise up to $25.6 million in gross proceeds at the supermax of the offering range, translating to a pro forma tangible common equity ratio of 23%.

Executive officers and directors plan to purchase 87,000 shares in the offering, representing 3.4% of the shares offered at the supermax. Three of the insiders, including President and CEO Alexander Babey, intend to buy 20,000 shares, which is the maximum allowable for individuals. Babey joined the company in 2013. Previously, he was executive vice president and senior loan officer at La Grange, Ky.-based Bank - Oldham County Inc., which was acquired in April 2013.

S&P Global Market Intelligence created a peer group for Mid-Southern Bancorp, consisting of 10 select public thrifts with total assets between $100 million and $350 million at March 31. Mutual holding companies and merger targets were excluded from the analysis. On a median basis, the peer group traded at 94.7% of tangible book at June 11. At the supermax, Mid-Southern Bancorp is priced at 77.0% of pro forma tangible book, representing an 18.7% discount to the peers.

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