{"id":398295,"date":"2020-12-11T10:07:27","date_gmt":"2020-12-11T15:07:27","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=398295"},"modified":"2020-12-11T10:07:27","modified_gmt":"2020-12-11T15:07:27","slug":"first-keystone-corporation-issues-25-million-in-subordinated-notes","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/first-keystone-corporation-issues-25-million-in-subordinated-notes\/","title":{"rendered":"First Keystone Corporation Issues $25 Million in Subordinated Notes"},"content":{"rendered":"

<\/p>\n

First Keystone Corporation Issues $25 Million in Subordinated Notes<\/b><\/p>\n

BERWICK, Pa.–(BUSINESS WIRE<\/a>)–
\nFirst Keystone Corporation (the \u201cCompany\u201d or \u201cFirst Keystone\u201d) (OTCPK: FKYS), the bank holding company for First Keystone Community Bank (the \u201cBank\u201d), today announced the completion of its private placement of $25 million of its 4.375% Fixed to Floating Rate Subordinated Notes (the \u201cNotes\u201d) to certain qualified institutional buyers and institutional accredited investors.\n<\/p>\n

\nThe Notes will have a maturity date of December 31, 2030 and initially bear interest, payable semi-annually, at a fixed annual rate of 4.375% per annum until December 31, 2025. Commencing on that date, the interest rate applicable to the outstanding principal amount due will be reset quarterly to an interest rate per annum equal to the then current three-month secured overnight financing rate (SOFR) plus 411 basis points, payable quarterly until maturity. The Company may redeem and pay the Notes at par, in whole or in part, at its option, anytime beginning on or after December 31, 2025. The Notes are intended to qualify as Tier 2 capital for regulatory capital purposes for the Company.\n<\/p>\n

\nThe Company intends to use the net proceeds from the private placement to continue to meet regulatory capital requirements, increase the regulatory lending ability of the Bank and support the Bank\u2019s organic growth initiatives.\n<\/p>\n

\nPerformance Trust Capital Partners, LLC served as sole placement agent for the offering. Bybel Rutledge, LLP served as legal counsel to First Keystone Corporation and Windels Marx Lane & Mittendorf, LLP served as legal counsel to Performance Trust Capital Partners, LLC.\n<\/p>\n

\nThis press release is for informational purposes only and shall not constitute an offer to sell, or the solicitation of an offer to buy, any security, nor shall there be any sale in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. The Notes have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The indebtedness evidenced by the Notes is not a deposit and is not insured by the Federal Deposit Insurance Corporation or any other government agency or fund.\n<\/p>\n

About First Keystone Corporation <\/b><\/p>\n

\nFirst Keystone Corporation (OTC PINK: FKYS), is the parent company of First Keystone Community Bank.\n<\/p>\n

\nFirst Keystone Community Bank provides innovative business and personal banking products that focus on \u201cYesterday\u2019s Traditions. Tomorrow\u2019s Vision.\u201d The Bank currently operates offices in Columbia (5), Luzerne (8), Montour (1), Monroe (4), and Northampton (1) counties.\n<\/p>\n

\nInquiries regarding the purchase of the Corporation\u2019s stock may be made through the following brokers: RBC Dain Rauscher, 800-223-4207; Janney Montgomery Scott, LLC, 800-526-6397; Boenning & Scattergood, Inc., 800-883-1212; and Stifel Nicolaus & Co. Inc., 800-679-5446.\n<\/p>\n

Safe Harbor Forward-Looking Statements:<\/b><\/p>\n

\nCertain of the matters discussed in this press release constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and as such may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. The words \u201cexpect,\u201d \u201canticipate,\u201d \u201cintend,\u201d \u201cplan,\u201d \u201cbelieve,\u201d \u201cestimate,\u201d and similar expressions are intended to identify such forward-looking statements.\n<\/p>\n

\nThe Company\u2019s actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, without limitation:\n<\/p>\n