First Financial Bancorp Announces $300 Million Public Offering of Subordinated Notes

First Financial Bancorp Announces Strategic Public Offering of Subordinated Notes

First Financial Bancorp, a key player in the banking sector, makes a significant announcement regarding its financial strategy. The company reveals the pricing of a public offering of $300 million in 6.375% Fixed-to-Floating Rate Subordinated Notes due in 2035. These notes will initially accrue interest at a fixed rate of 6.375% per annum until December 1, 2030. After this period, the interest rate will transition to a floating rate, linked to the Three-Month Term Secured Overnight Financing Rate (SOFR) plus a spread of 300 basis points. This strategic decision reflects First Financial's proactive approach to managing its capital structure and optimizing its funding sources.

The net proceeds from this offering are expected to be around $296 million after accounting for underwriting discounts. The company plans to allocate these funds for general corporate purposes, which may include the potential redemption of existing 5.25% Subordinated Notes due in 2030. This move underscores First Financial's commitment to maintaining a robust balance sheet and improving its overall financial flexibility. By refinancing existing debt with more favorable terms, the bank aims to reduce interest expenses and enhance its capacity for future growth initiatives.

The offering is subject to customary closing conditions and is anticipated to close on November 10, 2025. Keefe, Bruyette & Woods, a Stifel Company, along with Janney Montgomery Scott LLC, serve as the joint book-running managers for the offering. Legal counsel for the company and the underwriters includes Squire Patton Boggs (US) LLP and Skadden, Arps, Slate, Meagher & Flom LLP. First Financial has also filed a registration statement with the U.S. Securities and Exchange Commission (SEC) and is providing a prospectus supplement detailing the offering terms. Investors are encouraged to review these documents for a comprehensive understanding of the offering.

In addition to the offering announcement, First Financial Bancorp emphasizes its commitment to transparency and regulatory compliance. The company clearly states that this announcement does not constitute an offer to sell or solicit an offer to buy the notes in jurisdictions where such an offer is prohibited. Interested parties can access the relevant documents through the SEC's website or contact the joint book-running managers for further information.

This strategic move not only solidifies First Financial's position in the competitive banking landscape but also aligns with its long-term financial objectives. By taking advantage of favorable market conditions, the bank is poised to enhance its operational capabilities and continue delivering value to its stakeholders.