Peapack-Gladstone Monetary Company Completes Personal Placement of $100 Million of Subordinated Notes

Bedminster, NJ – ( NewMediaWire ) – December 22, 2020 – Peapack-Gladstone Financial Company (NASDAQ International Pick out Market: PGC) (the “Company”), the holding corporation for Peapack-Gladstone Financial institution, currently announced the completion of its non-public placement of $100. million in mounted-to-floating amount subordinated notes owing 2030 (the “Notes”). 

The Notes are meant to qualify as Tier 2 funds for regulatory functions.  The Notes will to begin with bear fascination at a set once-a-year level of 3.50% for the initial 5 a long time and will reset quarterly thereafter to the then existing a few-month SOFR fee additionally 326 foundation points.

The Corporation intends to use the web proceeds from the supplying for common company functions, which may consist of the likely redemption of current subordinated debentures, acquisitions of wealth administration companies and inventory repurchases, subject to any applicable regulatory clearances.

In connection with the issuance and sale of the Notes, the Business entered into a registration rights settlement with the purchasers of the Notes pursuant to which the Firm has agreed to get particular actions to deliver for the exchange of the Notes for subordinated notes that are registered less than the Securities Act of 1933, as amended, with significantly the exact same conditions as the Notes.

Douglas L. Kennedy, President and CEO of the Business, commented, “We have been pleased to have financial commitment quality ratings from each Kroll and Moody’s. We imagine people scores and our skill to elevate $100 million of extra Tier 2 money at just one of the least expensive rates given that the pandemic strike, displays the strength and high-quality of our organization and management workforce. The proceeds of this providing will let us to be in a situation to connect with a part of our excellent financial debt carrying a higher level, if we so select, and guidance advancement initiatives and cash administration chances, all with out dilution to present shareholders.”

Piper Sandler & Co. and Keefe, Bruyette & Woods, A Stifel Company served as joint placement brokers for the Notes supplying. Luse Gorman, Pc served as authorized counsel to the Company and Covington & Burling LLP served as authorized counsel to the placement agents.

This push launch is for informational applications only and shall not represent an offer you to market, or the solicitation of an provide to invest in the Notes, nor shall there be any sale in any jurisdiction in which these types of an offer you, solicitation or sale would be illegal prior to registration or qualification underneath the securities legislation of any these kinds of jurisdiction.  The Notes have not been registered below the Securities Act and may well not be presented or marketed in the United States absent registration or an applicable exemption from registration prerequisites.  The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance coverage Company or any other governing administration company or fund.

ABOUT PEAPACK-GLADSTONE Monetary Corporation

Started in 1921, Peapack-Gladstone Economical Corporation is a New Jersey financial institution holding business with complete belongings of $6. billion, and wealth administration belongings below management and/or administration of $7.6 billion as of September 30, 2020.  Peapack-Gladstone Lender is a professional lender that provides progressive prosperity administration, industrial and retail alternatives, which include residential lending and on the web platforms, to businesses and shoppers.  For over 4 generations, Peapack Non-public, the Bank’s wealth management division, has offered thorough monetary, tax, fiduciary and financial investment guidance and solutions, to people, people, privately held enterprises, loved ones workplaces and not-for-profit businesses, which support them create, preserve and develop their legacy.  Collectively, Peapack-Gladstone Financial institution and Peapack Non-public supply an unparalleled motivation to client services.  Visit  www.pgbank.com  and  www.peapackprivate.com  for much more information.

Forward-Seeking STATEMENTS

This push launch incorporates forward-searching statements in just the indicating of the Securities and Exchange Act of 1934, as amended, like statements of targets, intentions, and expectations as to long term traits, designs, situations or final results of Firm operations and procedures and with regards to normal financial circumstances.  In some instances, forward-wanting statements can be identified by use of words such as “may,” “will,” “anticipates,” “believes,” “expects,” “plans,” “estimates,” “potential,” “continue,” “should,” and comparable words or phrases.  These statements are based upon recent and predicted economic ailments, nationally and in the Company’s market place, interest charges and curiosity level plan, aggressive variables, and other ailments which by their character, are not vulnerable to precise forecast, and are subject matter to important uncertainty.  Mainly because of these uncertainties and the assumptions on which this dialogue and the forward-hunting statements are based, true future functions and effects may possibly differ materially from individuals indicated herein.  Viewers are cautioned versus positioning undue reliance on any this sort of forward-on the lookout statements. The Company’s earlier results are not automatically indicative of long term effectiveness.

As the end result of the COVID-19 pandemic and the associated adverse area and national financial consequences, we could be subject to any of the pursuing extra risks, any of which could have a product, adverse outcome on our organization, economical condition, liquidity, and outcomes of operations: 

·         demand for our products and solutions and products and services might drop, making it tough to grow assets and income 

·         if the overall economy is not able to significantly reopen, and significant levels of unemployment continue for an extended interval of time, financial loan delinquencies, issue property, and foreclosures may possibly increase, resulting in increased rates and reduced income 

·         collateral for financial loans, especially real estate, may well drop in price, which could bring about mortgage losses to increase 

·         our allowance for mortgage losses may possibly have to be increased if borrowers knowledge money issues, which will adversely have an affect on our web income 

·         the internet worthy of and liquidity of mortgage guarantors may drop, impairing their means to honor commitments to us 

·         as the end result of the decline in the Federal Reserve Board’s concentrate on federal resources level to close to %, the produce on our property may possibly decrease to a larger extent than the decline in our price tag of curiosity-bearing liabilities, decreasing our net fascination margin and unfold and cutting down web income 

·         a substance decrease in net income or a internet decline about many quarters could final result in a decrease in the amount of our quarterly cash dividend 

·         our wealth administration revenues may decline with continuing sector turmoil 

·         a worsening of enterprise and financial conditions or in the financial markets could consequence in an impairment of particular intangible assets, these kinds of as goodwill

·         the unanticipated decline or unavailability of essential workers owing to the outbreak, which could damage our means to function our small business or execute our business enterprise approach, particularly as we may well not be effective in discovering and integrating suited successors

·         we may perhaps experience litigation, regulatory enforcement and reputation threat as a outcome of our participation in the Paycheck Safety Approach and the danger that the Smaller Business Administration could not fund some or all PPP loan guaranties

·         our cyber safety hazards are amplified as the outcome of an raise in the quantity of workers operating remotely and 

·         Federal Deposit Insurance Company premiums may possibly enhance if the agency encounter further resolution expenses.

A dialogue of these and other elements that could influence our outcomes is integrated in our Securities and Trade Fee filings, including our Annual Report on Sort 10-K for the calendar year finished December 31, 2019.  We undertake no obligation to update any ahead-searching statement to conform the statement to true results or improvements in the Company’s expectations.

Call:  Jeffrey J. Carfora, Senior Government Vice President and Chief Economic Officer, [email protected], 908.719.4308, Peapack-Gladstone Economic Corporation, 500 Hills Generate, Suite 300, Bedminster, NJ 07921.