Montana bank First Interstate looking to raise about $130 million in initial public offering
By APMonday, March 22, 2010
First Interstate plans $130 million IPO
NEW YORK — Bank holding company First Interstate BancSystem Inc. is expected to raise about $130 million in an initial public offering this week.
The regional bank, based in Billings, Mont., has 72 branches in Montana, Wyoming and western South Dakota.
First Interstate plans to sell 8.7 million shares for between $14 to $16 per share, according to a filing with the Securities and Exchange Commission. At the midpoint of that range, the bank would raise gross proceeds of $130.5 million. After expenses, the company expects proceeds of about $119.6 million, or $137.8 million if underwriters exercise an option to buy additional 1.3 million shares.
Shares of First Interstate are expected to trade under the symbol “FIBK” on the Nasdaq Global Market.
Proceeds from the offering will be used to fund long-term growth, repay debt and for general corporate purposes, including potential acquisitions, the company said in the filing.
The company said it earned $50.4 million, or $1.59 per share, in 2009.
As of Dec. 31, the company had $7.1 billion of assets, $5.8 billion in deposits and $4.5 billion in loans.
Barclays Capital, D.A. Davidson & Co., Keefe, Bruyette & Woods and Sandler O’Neill & Partners will act as underwriters for the offering.
