According to PRNewswire, NextBank Capital, Inc., which is a Dallas-based financial services firm announced the efficacious completion of the oversubscribed private placement of its senior and unsecured notes. The company also managed to reopen their initial offering by an additional amount of $80 million. This gave a total issuance of $155 million. The notes will bear interest at a constant rate of 5.50% for the next five years. Also, the floating rate is based on how it will spread within the three month LIBOR while using 435.5 basis points. Additionally, the notes were assigned the investment grade rating of the BBB that have a stability outlook.
NextBank Company plans to use the earnings of their offering to repay some debt they have, as well increase their general corporate purpose. The oversubscribed placement illustrates that there is still continued confidence that investors have with NexBank. The funds will help the company with the fortification of the capital balance sheet, and at the same time allow the company to increase its earning. Furthermore, the CEO of NextBank, John Holt, believes that the firm has an excellent record in financial stability and strength. The Nextbank Company has the selective approach that helped it achieved business growth. The CEO also agree that they are contented to have the BBB rating done by Kroll Bond Rating Agency. This has validated the company with high financial performance and excellent credit quality.
NextBank has significantly continued to attract a substantial capital from a wide range of institutional investors. The capital has helped the company to deliver on its strategies and core businesses. NexBank has managed to raise more than $200 million of debt and equity over the last 12 months. The funds were necessary for the continuation of the company’s objective of organic growth.
In December 2016, NexBank had assets worth $4.6 billion. This has enabled it to deliver services to mortgage banking, commercial banking, middle-market companies, and real estate investors. Regarding leadership, the company’s executive management team can combine all the industry expertise and at the same time focus on good service delivery to its esteemed clients. The management team is good at providing leading financial services to individual customers, corporates, and institutions. The executive team is led by Mr. James Dondero, the Chairman, President, and Co-Founder of Highland Capital Management Company.