BCB Bancorp kicks off $75 million capital raise amid overhaul

Bcb Bancorp

16/09/2026 22:43

Sept 16 (Reuters) - BCB Bancorp BCBP.O launched a $75 million stock offering on Wednesday, as CEO Thomas O’Brien pushes to overhaul the U.S. community bank and improve its asset quality.
      Shares of the Bayonne, New Jersey-based bank were down 4% in extended trading, paring some losses after falling 21% earlier. 
The offering comes as BCB Bancorp looks to sell roughly $210 million of problem loans to improve its asset quality profile. 
The portfolio being sold consists of loans in the commercial and multifamily real estate, commercial and industrial, and construction segments.
BCB Bancorp projects a net loss between $126.2 million to $136.1 million in the third quarter, expecting bad loan provisions to swell.
The bank has also commenced marketing the potential sale of business lines focused on cannabis-related customers.
O’Brien, who took the bank's helm in June, said the last three months had been spent reviewing its legacy credit challenges and developing plans to address them.
In June, BCB Bancorp suspended quarterly cash dividends to preserve capital while it conducted a deep evaluation of its portfolio.
Piper Sandler is acting as sole book-running manager for the stock offering.
The proceeds will be used for general purposes, including the offloading of potential problem loans and cutting debt, the bank said.

(Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Jonathan Ananda)
((ArasuKannagi.Basil@thomsonreuters.com;))