Axos Financial, Inc. announced the pricing of a public offering of $200 million in aggregate principal amount of the Company's 7.00% Fixed-to-Floating Rate Subordinated Notes due 2035.
The Notes will bear interest at a rate of 7.00% per year, with semi-annual payments starting on April 1, 2026.
Proceeds from the sale of the Notes are expected to be used to repay existing subordinated notes due 2030 and support growth initiatives at the Company's subsidiaries.
Offering Details
$200 million in 7.00% Fixed-to-Floating Rate Subordinated Notes due 2035 were priced in a public offering.
Interest Rate
The Notes will bear interest at a rate of 7.00% per year, with payments every six months starting in April 2026.
Rating
The Notes received a BBB rating from Kroll Bond Rating Agency.
- The issuance of the subordinated notes will provide Axos Financial, Inc. with capital to repay existing debt and support its growth strategies.
- The Notes' interest rate structure offers flexibility with a fixed rate until 2030 and a floating rate thereafter, potentially reducing interest costs in the future.
The successful issuance of $200 million in subordinated notes demonstrates investor confidence in Axos Financial, Inc.'s financial stability and growth prospects.