Print
More News

2015 Top Stories: No. 3 - Live Oak Bank Bancshares Goes Public

By Jenny Callison, posted Dec 18, 2015
Live Oak Bancshares officials were present when the firm’s stock opened on the Nasdaq exchange.
In July, Live Oak Bancshares Inc. became Wilmington’s only locally based public company.

The company, parent of Live Oak Bank, which was founded in 2008 in Wilmington, had signaled a possible intent in 2014 to go public, but withdrew the filing several months later when it received sufficient private financing to meet its immediate goals. In June 2015, however, it filed again with the SEC and this time pursued the procedure necessary for an initial private offering.

After courting potential investors for several weeks in preparation for an IPO, Live Oak on July 23 got approval from the SEC to issue public shares. The next day, several bank officials were in New York to ring the opening bell at Nasdaq, where the company is listed as LOB.

At the close of its first day of trading, LOB shares were selling at $18.55. In early December the share price was hovering at just above $13.

Since going public, the bank has shown growth, according to its third quarter 2015 report.

“We are on track to originate $1.1 billion this [calendar] year,” CEO and chairman Chip Mahan said in an October news release, commenting on the year-to-date loan production. “The year-to-date origination volume represents approximately a 40% growth over the same three-quarter period of 2014. This has been the result of growth in our legacy verticals as well as new verticals added in 2015.”

At the start of 2015, LOB was making SBA-guaranteed loans to businesses in seven industries (verticals). By the end of the year, that number had increased to 11. The bank is the nation’s second-largest SBA lender in terms of dollars, according to the SBA. In the 2014-15 federal fiscal year ended Sept. 30, Live Oak Bank made 966 SBA loans for a total of about $1.15 billion.

In September, the bank also launched a new eLending platform, which offers loans of $25,000 to $350,000 that can be used for renovations, remodels and acquisitions as well as for purchases of equipment and merchandise, according to the Live Oak Bank website. With the process conducted online, this program “offers approvals within 48 hours of receiving documents, little to no equity requirements, fast closings (generally within 30 days), no prepayment penalties, 10-year terms (fully amortizing, no balloons), capped closing costs and low rates,” the website states.

The bank has been growing physically as well.  Its second building on the Tiburon Drive campus opened in June and was soon filled as the company’s workforce grew to 325 by year’s end, at least double its size a year earlier. A third building is in the planning stages.

Click here to see a list of all Top 10 stories.
Ico insights

INSIGHTS

SPONSORS' CONTENT
Chris coudriet

A Public Service Profile on Creating Beauty in Our Community

Chris Coudriet - New Hanover County Government
Headshotrosaliecalarco 1182131047

The Government is Calling? Think Again!

Headshots march websized 2

Is Your Commercial Roof Ready for April Showers?

David Grandey - Highland Roofing Company

Trending News

Conservation Group Signs $8M Deal To Buy The Point On Topsail Island

Audrey Elsberry - Mar 26, 2024

National Organization Bestows Top Award On Cape Fear Professional Women In Building

Staff Reports - Mar 26, 2024

Engineering Firm Hires Four Employees

Staff Reports - Mar 26, 2024

N.C. Ports Officials React To Baltimore Bridge Collapse

Audrey Elsberry - Mar 26, 2024

NCino's Fourth-quarter Earnings Signal Rebound From Liquidity Crisis

Audrey Elsberry - Mar 27, 2024

In The Current Issue

Berries, A Battlefield And More In Pender

The N.C. Blueberry Festival, founded in 2003, is one of several events in Pender County that have drawn more attention over the years....


Q&A: Andrews Reflects On Leadership

Pender County Manager David Andrews is slated to retire this summer after 33 years in local government....


INFO JUNKIE: Jack Fleming

Jack Fleming, owner of Socialry Marketing & Scourz and emcee for 1 Million Cups Wilmington, shares his media and tech picks....

Book On Business

The 2024 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2023 Power Breakfast: Major Developments