Chicago-based Byline Bancorp’s shares hit the New York Stock Exchange on Friday, in what the company said was the first initial public offering by a Chicago bank in 15 years.
Byline priced its initial public offering at $19 per share, at the low end of the $19 to $21 range the bank said it expected in a registration statement filed with the Securities and Exchange Commission.
Byline president and CEO Alberto Paracchini called it an important milestone for the bank, formed from Chicago’s old Metropolitan Bank Group.
Metropolitan sustained steep losses on loans during the recession and went through a roughly $207 million restructuring in 2013. After rebranding as Byline, reducing costs and closing some branches, the bank is again on solid footing, Paracchini said.
“Coming from where the company was before 2013 to where we are today is a big, big accomplishment,” Paracchini said.
Although Byline wants to grow its business, it also wants to keep its local focus, he said.
“We’re healthy, we’re well-capitalized, we’re profitable and we’re looking to grow and keep serving customers,” he said.
The company is selling about 3.8 million shares, and certain stockholders are selling another 1.9 million, allowing Byline to raise up to $108.3 million. Underwriters also will be able to purchase up to 855,000 more shares of common stock.
Shares, trading under the symbol BY, closed at $20.05 Friday.
Byline had $3.3 billion in assets and more than 50 branches in the Chicago and Milwaukee metropolitan areas at the end of March.
The bank said it intends to use proceeds from the initial public offering to repay the outstanding balance on its line of credit, repurchase stock and for general corporate purchases. Paracchini declined to comment further, citing legal limitations around an initial public offering.
The offering is expected to close July 6.