CHICAGO, Sept. 8, 2014 /PRNewswire/
-- PrivateBancorp, Inc. ("PrivateBancorp," NASDAQ: PVTB)
announced today that PrivateBancorp Capital Trust IV (the "Trust")
will redeem $75.0 million of its
$143.8 million issued and outstanding
10.00% Trust Preferred Securities (the "trust preferred
securities") (NASDAQ: PVTBP) on October 8,
2014 (the "redemption date"). The redemption price
will be the liquidation amount of $25
per trust preferred security, together with accrued and unpaid
interest to the redemption date, which is estimated at
approximately $480,000 in the
aggregate. Because the trust preferred securities are issued
in book entry only form through the Depository Trust Company
("DTC"), the amount of trust preferred securities to be redeemed
from each investor will be determined in accordance with the
procedures of DTC.
The redemption of the trust preferred securities is a result of
the redemption that will be made by PrivateBancorp of approximately
$75.0 million of its outstanding
10.00% Junior Subordinated Debentures (the "debentures") due 2068,
all of which are held by the Trust. PrivateBancorp will use
internal resources to fund the redemption. The proceeds from
the partial redemption of the debentures will be applied to redeem
a proportionate amount of the trust preferred securities and the
Trust's common securities. In connection with the redemption,
PrivateBancorp will record approximately $2.4 million in interest expense, representing
unamortized debt issuance costs associated with the proportionate
amount of debentures to be redeemed.
About PrivateBancorp, Inc.
PrivateBancorp, Inc., through its subsidiaries, delivers
customized business and personal financial services to
middle-market companies, as well as business owners, executives,
entrepreneurs and families in all of the markets and communities it
serves. As of June 30, 2014,
the Company had 33 offices in 10 states and $14.6 billion in assets. Our website is
www.theprivatebank.com.
SOURCE PrivateBancorp, Inc.