EXHIBIT 99.1
INTERVEST BANCSHARES CORPORATION
10 ROCKEFELLER PLAZA/NEW YORK, N.Y. 10020-1903
TEL: (212) 218-2800/ FAX: (212) 218-2808
A FINANCIAL HOLDING COMPANY JEROME DANSKER CHAIRMAN
LOWELL S. DANSKER VICE CHAIRMAN
LAWRENCE G. BERGMAN DIRECTOR
(BW) (INTERVEST-BANCSHARES) (IBCA)
INTERVEST BANCSHARES CORPORATION
--------------------------------
COMPLETES THE SALE OF $15 MILLION OF CAPITAL SECURITIES
-------------------------------------------------------
Business Editors - New York - (Business Wire - September 17, 2003)
Intervest Bancshares Corporation (NASDAQ: IBCA) (the "Company") today
announced that it has sold trust preferred securities in the aggregate amount of
$15 million through FTN Financial Capital Markets, a division of First Tennessee
Bank National Association. The securities issued in the offering were sold to
institutional investors in a private transaction, pursuant to an applicable
exemption from registration under the Securities Act of 1933. This represents
the second trust preferred transaction that the Company has completed.
The securities bear interest at a fixed rate of 6.75% per annum for the
first five years and thereafter at a floating rate based on LIBOR and mature in
30 years. The securities can be redeemed by the Company at anytime after five
years. The Company will use the proceeds for working capital and investment in
its wholly owned subsidiaries.
The principal subsidiary of the Company is Intervest National Bank, which
is a nationally chartered, full-service commercial bank that has its
headquarters and full-service banking office in Rockefeller Center, in New York
City, and a total of five full-service banking offices in Florida - of which
four are in Clearwater and one is in South Pasadena. The addition of Tier 1
capital to Intervest National Bank will give the Bank the potential to grow
deposits and potentially increase the Bank's future earnings, and accordingly
the future earnings per share of the Company.
Since 1996, Intervest Bancshares Corporation's consolidated assets have
grown at an annualized rate of approximately 35%, to $750,000,000 as of June 30,
2003, and book value per common share has increased 79% to $12.23 in the same
time frame.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of these securities
in any state in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities law of any such state.
Intervest Bancshares Corporation is a registered financial holding company. Its
subsidiaries are: Intervest National Bank, Intervest Mortgage Corporation, a
mortgage investment company and Intervest Securities Corporation, a registered
broker/dealer. Intervest National Bank maintains capital ratios in excess of the
regulatory requirements to be designated as a well-capitalized institution.
INTERVEST BANCSHARES CORPORATION'S CLASS A COMMON STOCK IS LISTED ON THE NASDAQ
SMALL CAP:
TRADING SYMBOL IBCA.
This press release may contain forward-looking information. Except for
historical information, the matters discussed in this press release are subject
to certain risks and uncertainties that may affect the Company's actual results
of operations. The following important factors, among others, could cause actual
results to differ materially from those set forth in forward looking statements:
changes in general economic conditions in the Company's market areas; changes in
policies by regulatory agencies; fluctuations in interest rates; demand for
loans; and competition. Reference is made to the Company's filings with the
Securities and Exchange Commission for further discussion of risks and
uncertainties regarding the Company's business. Historical results are not
necessarily indicative of the future prospects of the Company.
CONTACT:
JEROME DANSKER, CHAIRMAN, INTERVEST BANCSHARES CORPORATION
10 ROCKEFELLER PLAZA, SUITE 1015, NEW YORK, NEW YORK 10020 (212-218-2800)
(FAX 212-218-2808)
SUBSIDIARIES OF INTERVEST BANCSHARES CORPORATION
NASDAQ SYMBOL: IBCA
----------
INTERVEST NATIONAL BANK INTERVEST SECURITIES INTERVEST MORTGAGE
FDIC INSURED CORPORATION MEMBER NASD/SIPC CORPORATION MORTGAGE
INVESTMENTS