Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : USAB - USABancShares.com -- Ignore unavailable to you. Want to Upgrade?

To: VeloSpeed who wrote (1568)	7/17/1999 1:58:00 PM
From: David H. Zimmer	Read Replies (1) \| Respond to of 2419

On 7/16/99 USAB filed a secondary to raise approximately $34.5 million through the sale of common stock. All of the stock being sold is coming from the company -- THERE ARE NO SELLING SHAREHOLDERS IN THIS SECONDARY. The use of the proceeds is for vBank to (1) establish the USABanc.com Website; (2)develop strategic alliances; (3) marketing; (4) expansion of lending efforts; and (5) general corporate purposes. I downloaded the filing, almost two hundred pages this morning and will sift through same and report back to the thread prior to Monday's opening. A brief review suggests that there is nothing abnormal about this offering, those of us who are in the industry expected a filing of this nature would be necessary to fund the roll-out of the Website, and that the secondary will add value to the company. In short, the stock remains a strong buy with all expectations that the offering was all but subscribed for prior to its filing. The underwriter is Sandler, O'Neill & Partners, LP. A copy of the prospectus is available from them @ 212-466-7800. They are a highly reputable company and well respected in the investment banking industry. They are well capitalized and completely capable of handling this transaction. The securities that they sell will be more than likely sold to institutional customers and as such, the shares would be considered put-a-way shares, ones that will be held for a long period of time.