Independent repays U.S.
IONIA — Independent Bank Corp. (Nasdaq: IBCP), the holding company of Independent Bank, a announced it has signed an agreement with the U.S. Department of the Treasury as part of the corporation's capital restoration plan. Under the terms of the agreement, and subject to the completion of certain closing conditions, Treasury will exchange the $72 million of Series A Fixed Rate Cumulative Perpetual Preferred Stock it acquired pursuant to the TARP Capital Purchase Program, plus approximately $2.3 million in accrued dividends on such shares, for new shares of the Corporation's Series B Fixed Rate Cumulative Mandatorily Convertible Preferred Stock with a liquidation preference equal to $72 million plus the amount of such accrued dividends at the time of the exchange. The corporation expected to complete the exchange with the Treasury within 30 days. The terms of the new convertible preferred stock to be issued to the Treasury are substantially similar to the terms of the preferred stock currently held by the Treasury, except that the new preferred stock is convertible into the corporation's common stock. The Treasury will have the right to convert the preferred stock into the corporation's common stock at any time.
Independent Bank Corp. (Nasdaq Symbol: IBCP) is a Michigan-based bank holding company with total assets of approximately $3 billion.