Great Southern issues $50M in bonds

Great Southern Bancorp Inc. (Nasdaq: GSBC) today listed $50 million in bonds available to the public.

The subordinated notes are due 2026, according to a news release. Subordinated debt refers to a loan or security that ranks less than other loans or securities. In the case of a default, subordinated debtholders would be paid after senior debtholders, according to Investopedia.com.

Great Southern plans to utilize the proceeds of the public offering for general corporate purposes, including capital for organic growth or potential acquisitions.

New York-based Sandler O'Neill & Partners LP is serving as underwriter for the offering, according to the release.

A month ago, Great Southern filed a prospectus with the U.S. Securities and Exchange Commission indicating the bank’s board approved the sale of $250 million worth of debt and equity securities over the next three years. At the time, Great Southern Bank Financial Officer Rex Copeland said the filing allowed the company to decide whether to offer a sale of debt or securities in the future.

In the second quarter, Great Southern reported net income available to common shareholders of $12.5 million, a 5.7 percent increase from $11.9 million in earnings a year earlier.

GSBC shares were trading at $39.51 as of 9:58 a.m, compared with a 52-week range of $34.48 to $52.94.