Metairie, La, Nov. 21, 2024 (GLOBE NEWSWIRE) -- Mutual Savings and Loan Association (the “Association”) announced today that Magnolia Bancorp, Inc. (the “Company”), a newly formed Louisiana corporation which will be the holding company for the Association, has commenced its stock offering in connection with the conversion of the Association from the mutual to the stock form of organization. The Association also announced that the registration statement for the sale of the Company’s common stock has been declared effective by the U.S. Securities and Exchange Commission (the “SEC”) and that the approvals required to commence the offering have been received, including the approvals of the Office of the Comptroller of the Currency (the “OCC”) and the Board of Governors of the Federal Reserve System (the “FRB”).
The Company is offering for sale up to 833,750 shares of its common stock at a purchase price of $10.00 per share, although the Company may sell up to 958,813 shares of common stock because of demand for the shares or changes in market conditions, without resoliciting investors.
The Company’s common stock is expected to be quoted on the OTCQB Market.
The shares are first being offered in a subscription offering, in priority order, to depositors of the Association with qualifying deposits at the close of business on December 31, 2022, to the Company’s tax-qualified Employee Stock Ownership Plan, to depositors of the Association with qualifying deposits at the close of business on September 30, 2024, and finally to depositors of the Association at the close of business on October 31, 2024. The Company began mailing the subscription materials on November 18, 2024.
Any shares of common stock remaining after the subscription offering will be offered for sale to members of the general public in a concurrent community offering, with a preference given first to residents in Jefferson, St. Tammany, Lafourche, Orleans, Plaquemines, St. Charles, St. John the Baptist, Tangipahoa and Washington Parishes, Louisiana. The subscription and community offerings are scheduled to expire at 1:00 p.m., Central Time, on December 17, 2024, subject to extension.
The subscription and community offerings are being managed by Keefe, Bruyette & Woods. All questions concerning the offering or requests for offering materials should be directed to the Stock Information Center at 1-877-643-8217. The Stock Information Center is open Monday through Friday between 9:00 a.m. and 3:00 p.m., Central Time. The Stock Information Center will be closed on weekends and bank holidays.
Completion of the stock offering is contingent upon the Company selling at least 616,250 shares of common stock and is subject to the receipt of final regulatory approvals for the conversion and stock offering, the affirmative vote of the depositors of the Association approving the conversion and other customary closing conditions.
This press release is neither an offer to sell nor an offer to buy shares of common stock of the Company. The offer is made only by the Company’s prospectus when accompanied by a stock order form. The Company has filed with the SEC a registration statement for the offering to which this press release relates as well as the final prospectus, dated November 8, 2024, for the subscription and community offering. Before you invest, you should read that prospectus and other documents the Company has filed with the SEC for more complete information about the Company and the stock offering. You may obtain these documents for free by visiting EDGAR on the SEC web site at www.sec.gov.
The shares of common stock of the Company are not deposits or savings accounts and are not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
About Mutual Savings and Loan Association
The Association was founded in 1885 and serves the banking needs of customers in its market area, which primarily consists of Jefferson and St. Tammany Parishes in Louisiana. The Association operates from its headquarters and main banking office in Metairie, Louisiana, as well as one additional full service branch office located in St. Tammany Parish on the north shore of Lake Pontchartrain in Mandeville, Louisiana. Its primary business activity is attracting deposits from the general public and using those funds primarily to originate one- to four-family residential loans, residential construction loans and home equity lines of credit. At June 30, 2024, the Association had total assets of $35.5 million, total deposits of $20.0 million and equity of $14.0 million. Magnolia Bancorp, Inc. will become the holding company for the Association upon completion of the conversion and stock offering.
Forward-Looking Statements
This press release and the Company’s prospectus for the offering contain forward-looking statements, which can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “plan,” “seek,” “expect,” “will,” “would,” “should,” “could” or “may,” and words of similar meaning. These forward-looking statements include statements of the Company’s goals, intentions and expectations; statements regarding the Company’s business plans, prospects, growth and operating strategies; statements regarding the quality of the Company’s loan portfolio; and estimates of the Company’s risks and future costs and benefits.
These forward-looking statements are based on current beliefs and expectations of the Company’s management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the Company’s control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to: the failure to obtain the final approval of the OCC for the proposed conversion and related stock offering, delays in obtaining such approval, or adverse conditions imposed in connection with such approval; failure to obtain depositor approval of the conversion; those related to the real estate and economic environment, particularly in the market areas in which the Association operates; fiscal and monetary policies of the U.S. Government; changes in government regulations affecting financial institutions, including regulatory compliance costs and capital requirements; fluctuations in the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; the risk that the Company and the Association may not be successful in the implementation of their business strategy; changes in prevailing interest rates; credit risk management; asset-liability management; and other risks described in the Company’s filings with the Securities and Exchange Commission, which are available at the SEC’s website, www.sec.gov.
The Company cautions prospective investors not to place undue reliance on any such forward looking statements, which speak only as of the date made. The Company disclaims any obligation to publicly release any revision made to any forward-looking statement to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Michael L. Hurley President and Chief Executive Officer (504) 455-2444
