Rio Financial Services, Inc., the holding company for Rio Bank, announced that it has sold $24 million in subordinated notes to qualified institutional investors through a private placement offering.  Brean Capital, LLC served as the sole placement agent for this offering.  Langley & Banack served as the Company’s legal counsel in this offering.

The subordinated notes were issued on October 26th, 2020 and will mature on November 1, 2030.  The Notes will bear interest at an annual fixed rate of 5.25% per annum, payable semi-annually in arrears on May 1st and November 1st of each year from May 1, 2020 to November 1, 2025.  From and including November 1, 2025 to November 1, 2030, interest will accrue at a floating rate per annum equal to a benchmark rate, which is expected to be Three-Month Term SOFR (as defined in the subordinated notes), plus a spread of 486 basis points, payable quarterly in arrears on February 1, May 1, August 1, and November 1 of each year.  The Company intends to use the net proceeds from the offering to support future growth and for general corporate purposes, including the redemption of existing debt.

“We were gratified by the strong support for this offering,” stated Ford Sasser, CEO of Rio Bank. “As the process closed, we had substantially more than $24 million in orders from banks and other investors across the country for this highly successful private placement.”

Rio Financial Services, Inc. is a bank holding company headquartered in McAllen, TX and is the holding company of Rio Bank, a community bank established in 1985 that serves the community through 14 banking centers in Southern Texas. Additional information is available on the bank’s website at

Brean Capital’s Investment Banking Group is dedicated to helping its clients achieve their strategic and financial goals. For more than 40 years, the Firm has specialized in providing capital raising, M&A and financial advisory services to middle market businesses. Throughout its history, Brean Capital has established a track record of providing its clients with deep market knowledge, commitment and experience to ensure a successful transaction.  For more information, please visit:

This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offering would be unlawful. The above referenced securities offered and sold by the Company have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold absent registration or an exemption from registration.

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Interested to learn more and see how Brean Capital can help your business? Contact the team below:

Managing Director
(212) 702-6614

Managing Director
(212) 655-4869

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