IPO Report: Triumph Bancorp (TBK)

Francis Gaskins  |

Triumph Bancorp (TBK) is a financial holding company headquartered in Dallas, Texas and registered under the BHC Act.

Ten other companies are scheduled for the week of Nov. 3, 2014. The full IPO calendar is available at IPOpremium.

SEC Documents

Manager, Joint-managers: Sandler ONeill & Partners, Evercore Group, and Wells Fargo

Co-managers: Keefe, Bruyette & Woods, and Nomura

End of lockup (180 days): Wednesday, May 6, 2015

End of 25-day quiet period: Tuesday, December 2, 2014

TBK scheduled a $101 million IPO with a market capitalization of $249 million at a price range midpoint of $15 for Friday, Nov. 7, 2014 on Nasdaq.

Triumph Bancorp IPO Report


TBK is a financial holding company headquartered in Dallas, Texas and registered under the BHC Act



Valuation Ratios

Mrkt Cap (mm)

Price /Net interest income

Price /Erngs

Price /BkVlue

Price /TanBV

% offered in IPO

12 mos ended June '14


Triumph Bancorp (TBK)












Market Do-



1-5, 5 is high







20 is perfect






C+, 7



P/E pf 13.1

1.1 times book

Price to net interest income of 3.9


TBK is a financial holding company headquartered in Dallas and registered under the BHC Act.

Through its two wholly owned bank subsidiaries, Triumph Savings Bank and Triumph Community Bank, TBK offers traditional banking products as well as commercial finance products to businesses that require specialized and tailored financial solutions.

TBK’s banking operations include a full suite of lending and deposit products and services focused on its local market areas.

These activities generate a stable source of core deposits and a diverse asset base to support TBK’s overall operations.

TBK’s commercial finance products include factoring, asset-based lending, equipment lending and healthcare lending products offered on a nationwide basis.

These product offerings supplement the asset generation capacity in TBK’s community banking markets and enhance the overall yield of its loan portfolio, enabling TBK to earn attractive risk-adjusted net interest margins.

TBK believes its integrated business model distinguishes it from other banks and non-bank financial services companies in the markets in which TBK operates.

TBK ‘s business is conducted through three reportable segments (Banking, Factoring and Corporate). For the six months ended June 30, 2014, TBK’s banking segment generated 72% of its total interest and noninterest income, its factoring segment generated 27% of its total interest and noninterest income and its corporate segment generated 1% of its total interest and noninterest income. As of June 30, 2014, TBK had consolidated total assets of $1.4 billion, total loans held for investment of $939.5 million, total deposits of $1.1 billion and total stockholders’ equity of $140 million.


TBK competes with a wide range of regional and national banks located in its market areas as well as non-bank commercial finance and factoring companies on a nationwide basis.

TBK experiences competition in both lending and attracting funds from commercial banks, savings associations, credit unions, consumer finance companies, pension trusts, mutual funds, insurance companies, mortgage bankers and brokers, brokerage and investment banking firms, non-bank lenders, government agencies and certain other non-financial institutions.

5% shareholders pre-IPO

Triumph Consolidated Cos., LLC            14.87%

R-J Real Estate (GP) LLC           7.18%

Carlos M. Sepulveda, Jr.           18.43%

Aaron P. Graft  15.32%

Richard L. Davis            16.65%

C. Todd Sparks             17.17%

Justin Trail        15.32%

Robert Dobrient            15.26%

Charles Anderson          15.38%


No dividends are planned.

Use of proceeds

TBK expects to receive $90 million from its IPO and use it for the following:

$25.9 million of the net proceeds to it generated by this offering to redeem, as promptly as practicable following the completion of this offering, TBK’s TARP preferred stock; approximately $11.7 million of the net proceeds of this offering to retire, as promptly as practicable following the completion of this offering,

its senior secured indebtedness, consisting of a senior secured note with a principal amount of $11.9 million as of June 30, 2014, which has an interest rate based at the prime rate with a minimum interest rate of 4.5%, a prepayment penalty of 1.0% of the unpaid principal, and matures on October 15, 2018; and any remainder of the net proceeds of this offering (which will be approximately $52.9 million) to support its organic growth and other general corporate purposes, including potential future acquisitions of bank and non-bank financial services companies that TBK believes are complementary to its business and consistent with its growth strategy.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer


Symbol Name Price Change % Volume
TBK Triumph Bancorp Inc. 27.58 -0.16 -0.58 41,878 Trade



Symbol Last Price Change % Change






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