Old National Bancorp Finalizes $450M Subordinated Notes Offering

summarizeSummary

Old National Bancorp has finalized the terms for its $450 million offering of 5.768% fixed-to-floating rate subordinated notes due 2036, securing capital for general corporate purposes.

check_boxKey Events

• Finalizes Subordinated Notes Offering

  Old National Bancorp has finalized the offering of $450 million in 5.768% fixed-to-floating rate subordinated notes due 2036, with an issue date of January 29, 2026.

• Capital for General Corporate Purposes

  The net proceeds of approximately $445.8 million from the offering will be used for general corporate purposes, enhancing the company's financial flexibility.

• Subordination and Risk Factors Detailed

  The notes are unsecured and subordinated to all existing and future senior indebtedness, and structurally subordinated to liabilities of the company's subsidiaries, with comprehensive risk factors outlined in the prospectus.

• Context of Recent Performance

  This capital raise follows the company's announcement of strong fourth-quarter and record full-year 2025 financial results on January 21, 2026, and occurs while the stock is trading near its 52-week high.

auto_awesomeAnalysis

This 424B5 filing provides the full prospectus supplement detailing the terms of Old National Bancorp's $450 million offering of 5.768% fixed-to-floating rate subordinated notes due 2036. The offering, which was previously announced as finalized on January 26, 2026, secures substantial capital for general corporate purposes. While the issuance of subordinated debt increases the company's leverage and interest expense, the successful completion of this significant capital raise, following strong fourth-quarter earnings and with the stock trading near its 52-week high, indicates the company's ability to access capital markets on favorable terms. The notes will bear a fixed interest rate of 5.768% until February 2031, then convert to a floating rate, and are callable by the company under specific conditions.