TEMECULA, Calif.--(Business Wire)--Temecula Valley Bancorp Inc. (NASDAQ: TMCV) announced today that
it has priced a public offering of $19.25 million Temecula Valley
Statutory Trust VI 9.45% Trust Preferred Securities to settle on
January 17, 2008. Additionally, Temecula Valley Bancorp has provided
an overallotment option to issue an additional 288,750 shares. Howe
Barnes Hoefer & Arnett, Inc. is acting as the Lead Manager with
Wunderlich Securities, Inc. as the Co-Manager for this offering.
The preferred securities, in denominations of $10 each, represent
an undivided beneficial interest in the assets of Temecula Valley
Statutory Trust VI. Each preferred security will entitle the holder to
receive quarterly cash distributions at an annual rate of 9.45%, paid
quarterly in March, June, September and December of each year,
beginning March 30, 2008.
Temecula Valley Statutory Trust VI will use the proceeds from the
sale of the trust securities to invest in Temecula Valley Bancorp's
junior subordinated debentures. Temecula Valley Bancorp will use the
net proceeds from the sale of the junior subordinated debentures to
Temecula Valley Statutory Trust VI for general corporate purposes. The
net proceeds from the sale, which includes the underwriting commission
paid by Temecula Valley Bancorp, will be approximately $18.5 million
or $21.3 million, if the underwriters exercise their overallotment
option in full.
Temecula Valley Statutory Trust VI is required to redeem all of
the outstanding preferred securities when the junior subordinated
debentures are paid at maturity on March 30, 2038. Temecula Valley
Bancorp may not redeem the junior subordinated debentures before March
30, 2013 unless specified changes in tax, investment company or
regulatory law occur (as outlined in the prospectus). We expect that
the trust preferred securities will be quoted and traded on The NASDAQ
Global Market under the symbol "TMPR" within 30 days following the
initial issuance.
This press release does not constitute an offer to sell or the
solicitation of an offer to purchase the securities. The preferred
securities may be offered only by means of a prospectus. A copy of the
prospectus may be obtained from Howe Barnes Hoefer & Arnett (222 South
Riverside Plaza, 7th Floor, Chicago, Illinois 60606) or Wunderlich
Securities (6000 Poplar Avenue, Suite 150, Memphis, Tennessee 38119).
Temecula Valley Bank (the "Bank") was established in 1996 and
operates full service offices in Temecula, Murrieta, Corona,
Fallbrook, Escondido, Rancho Bernardo, El Cajon, Carlsbad, San Marcos,
Solana Beach and Ontario. The Bank also operates a number of regional
real estate loan production centers in California. As a nationally
authorized SBA Preferred Lender, the Bank has multiple SBA loan
production offices primarily in the Western United States and has
funded over $1.3 billion in SBA loans in 36 states in the last five
years. Temecula Valley Bancorp Inc. was established in June 2002 and
operates as a bank holding company for the Bank.
For more information about the Company, visit Temecula's website
at www.temvalbank.com.
Statements concerning future performance, developments, or events
concerning expectations for growth and market forecasts, and any other
guidance on future periods constitute forward-looking statements that
are subject to a number of risks and uncertainties. Actual results may
differ materially from stated expectations. Specific factors include,
but are not limited to, the effect of interest rate changes, the
ability to control costs and expenses, the impact of consolidation in
the banking industry, financial policies of the United States
government, and general economic conditions. Additional information on
these and other factors that could affect financial results are
included in the Bank's Securities and Exchange Commission filings.
Temecula Valley Bank
Stephen H. Wacknitz, President & CEO
951-694-9940
Copyright Business Wire 2008
