Craig Miller, leader of Manatt Financial Services, and Katherine Blair, partner in the capital markets group, advised Central Pacific Financial Corp. in its $55 million private placement of subordinated notes. The ten-year, fixed-to-floating rate subordinated notes bear a fixed interest rate of 4.75% for the first five years and will reset quarterly thereafter for the remaining five years to the current three-month secured overnight financing rate, as published by the Federal Reserve Bank of New York, plus 456 basis points.
Central Pacific Financial Corp., a Hawaii-based financial institution and the parent company of Central Pacific Bank, intends to use the net proceeds from the offering for general corporate purposes and capital flexibility.