Valley Republic Bancorp completed the issuance, through a private placement, of $20,000,000 aggregate principal amount of Fixed-to-Floating rate subordinated notes due March 29, 2029 to certain institutional and private accredited investors. The Notes were issued at a price equal to 100% of the principal amount, resulting in net proceeds to the Company of $19.6 million. The Company intends to use the net proceeds from the offering to support its growth and for general corporate purposes. The Notes are intended to qualify as Tier 2 capital for Company regulatory purposes, and the portion that the Company contributes to the Bank will qualify as Tier 1 capital for the Bank. The Notes bear a fixed interest rate of 6.00% per annum until (but excluding) March 29, 2024, payable quarterly in arrears. From March 29, 2024, the Notes will bear a floating rate of interest equal to 3-Month LIBOR + 3.52% until the Notes mature on March 29, 2029, or such earlier redemption date, payable quarterly in arrears. The Notes will be redeemable by the Company, in whole or in part, on or after March 29, 2024, upon proper notice being given by the Company to the Note holders.