Customers Bancorp falls after $150 million share sale

Customers Bancorp

04/09/2025 16:14

** Shares of regional lender Customers Bancorp CUBI.N fall 4.2% to $69.41

** CUBI late Wednesday announced pricing of stock offering of 2.2 million shares at $68.50 apiece for gross proceeds of $150 million

** Offering priced at 5.4% discount to stock's last close

** "It (equity raise) improves the bank's capital position and supports strong loan and deposit pipelines from last year's hires," brokerage Raymond James says

** CUBI plans to use proceeds for general purposes, including debt repayment, stock repurchase, and redeeming preferred stock

** Morgan Stanley, Keefe, Bruyette & Woods, and Raymond James were joint book-running managers for the offering

** 4 of 7 brokerages rate the stock "buy" or higher and 3 "hold"; median PT $78 — data compiled by LSEG

** As of last close, CUBI stock up 49% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)

 ((ArasuKannagi.Basil@thomsonreuters.com))