CU-Turned-Bank Plans Public Stock Offering

Credit Union Journal, The, August, 2006

ViewPoint Bank, the former Community Credit Union until it converted charters on Jan. 1 of this year, has filed a prospectus with the Securities and Exchange Commission indicating it plans a public stock offering. According to its filing, the bank plans to raise $113 million in the stock offering this month through the sale of 11.6-million shares at $10 a share to its 225,000 customers.

In its filing, the $1.49-billion Viewpoint also makes clear that its depositors, most of whom were formerly members of the credit union, will lose their voting rights. "After completion of the reorganization and stock issuance, members will have no voting rights in ViewPoint Bank or ViewPoint Financial Group, and, therefore, will not be able to elect directors...or control their affairs,"...

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