OSWEGO, N.Y., May 09, 2019 (GLOBE NEWSWIRE) — Pathfinder Bancorp, Inc. (“Pathfinder” or the “Company”) (NASDAQ: PBHC), the holding company for Pathfinder Bank (“Bank”), announced today that it has successfully closed a $20.8 million private placement of shares (“Shares”) of common stock and a newly issued series of convertible perpetual preferred stock (“Preferred Stock”) to local and institutional investors. The Shares were sold at $14.25 per share. An affiliate of Castle Creek Capital LLC (“Castle Creek”), a California-based private equity firm and a leading investor in the financial institutions sector, was the institutional investor in the offering. Accredited investors, members of the Board of Directors, and executive management of Pathfinder purchased $3.8 million of Pathfinder common stock in the transaction.
The Company intends to use the proceeds for general corporate purposes and to support future growth, which may include increased levels of lending activities and growing the branch network.
Thomas W. Schneider, President and Chief Executive Officer stated, “We are very pleased to announce the successful completion of our private placement. The new capital will be used to support organic growth opportunities in the communities we serve and enhance the value of our franchise.” Mr. Schneider added, “We are excited about the support of our local investors and the participation of Castle Creek Capital.”