Provident Financial Prices $175M Subordinated Notes at 6.50% to Refinance Debt
PFS sits 34% above its 52-week low of $17.69.
Summary
Provident Financial priced $175 million of 6.50% fixed-to-floating subordinated notes due 2036, using proceeds to repay $170 million of existing debt and extend maturities.
Key Events · Financing and Capital Events · PFS
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Notes Priced at 6.50% Fixed
Provident Financial priced $175 million of subordinated notes due 2036 with a 6.50% fixed rate until September 1, 2031, then floating at Three-Month Term SOFR plus 239 basis points.
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Proceeds Refinance $170M Debt
Net proceeds will repay $150 million of 2.875% notes due 2031 and $20 million of variable-rate junior subordinated notes due 2033, extending maturities and reducing near-term refinancing risk.
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Investment-Grade Rating
The notes received an expected BBB rating from Kroll Bond Rating Agency with a stable outlook, supporting access to institutional debt markets.
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Settlement August 24
The offering is expected to settle on August 24, 2026 (T+2), with interest payments beginning March 1, 2027.
Analysis · PFS · Finance
Provident Financial finalized terms on a $175 million subordinated notes offering, locking in a 6.50% fixed rate for the first five years before switching to a floating rate of SOFR plus 239 basis points. The proceeds will repay $170 million of higher-cost or maturing debt — $150 million of 2.875% notes due 2031 and $20 million of variable-rate junior subordinated notes due 2033 — extending the company's maturity profile and providing regulatory Tier 2 capital. The BBB rating from Kroll reflects investment-grade credit quality, and the deal was priced at par with settlement expected August 24. This is a routine but meaningful balance-sheet management move for a regional bank, especially given the recent surge in non-performing loans tied to senior housing bankruptcies.
How filings like this one have moved
In the 30 days to Oct 17, 2026, 29.7% of the 1528 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.47%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, PFS was trading at $23.69 on NYSE in the Finance sector, with a market capitalization of approximately $3.1B. The 52-week trading range was $17.69 to $25.49. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.