WESTERLY, R.I.--(BUSINESS WIRE)--
Washington Trust Bancorp, Inc. (NASDAQ Global Select: WASH), the
publicly-owned holding company of The Washington Trust Company,
announced today that it has entered into a purchase agreement with
select institutional investors pursuant to which it will raise $50
million in a private placement of its common stock. Net proceeds are
expected to be approximately $46.8 million after deducting
offering-related fees and expenses.
Washington Trust will issue a total of 2.5 million shares of
common stock at a price of $20 per share in the private placement. The
closing is expected to take place on or about October 7, 2008, subject
to the satisfaction of customary closing conditions.
Washington Trust intends to use the net proceeds from the capital
raise for general corporate purposes and to support strategic growth
initiatives in its commercial and wealth management business lines.
Keefe, Bruyette & Woods, Inc. served as placement agent for the
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sales of the
shares of common stock in any jurisdiction in which such an offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of any such jurisdiction. The
shares of common stock to be sold in the private placement have not
been registered under the Securities Act of 1933, as amended, or state
securities laws and may not be offered or sold in the United States
absent registration or an applicable exemption from registration
requirements. The shares of common stock were offered and will be sold
only to a limited number of institutional investors that are
accredited investors. Washington Trust has agreed to file a
registration statement with the Securities and Exchange Commission to
cover the resale by the investors of the shares of common stock issued
in the private placement.
Washington Trust Bancorp, Inc. is the parent of The Washington
Trust Company, a Rhode Island state-chartered bank founded in 1800.
Washington Trust offers personal banking, business banking and wealth
management services through its offices in Rhode Island, Massachusetts
and southeastern Connecticut. Washington Trust Bancorp, Inc.'s common
stock trades on the NASDAQ Global Select under the symbol WASH.
Investor information is available on the Corporation's web site:
This press release contains certain statements that may be
considered "forward-looking statements" within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. All statements, other
than statements of historical facts, including statements regarding
the offering and the use of proceeds from the offering are
forward-looking statements. The actual results, performance or
achievements of Washington Trust could differ materially from those
projected in the forward-looking statements as a result of, among
other factors, changes or continued deterioration in general national
or regional economic conditions, reductions in net interest income
resulting from interest rate volatility as well as changes in the
balance and mix of loans and deposits, reductions in the market value
of wealth management assets under administration, reductions in loan
demand, changes in loan collectibility, default and charge-off rates,
changes in the size and nature of Washington Trust's competition,
changes in legislation or regulation and accounting principles,
policies and guidelines, and changes in the assumptions used in making
such forward-looking statements. In addition, the factors described
under "Risk Factors" in Item 1A of our Annual Report on Form 10-K for
the fiscal year ended December 31, 2007, as filed with the Securities
and Exchange Commission, may result in these differences. You should
carefully review all of these factors, and you should be aware that
there may be other factors that could cause these differences.
Washington Trust assumes no obligation to update forward-looking
statements or update the reasons actual results, performance or
achievements could differ materially from those provided in the
forward-looking statements, except as required by law.
Source: Washington Trust Bancorp, Inc.