| Hamilton Bancorp Inc. | |||
| Ticker: | HABK | 3750 N.W. 87th Avenue | |
| Exchange: | NASDAQ-National Market | Miami, FL 33178 | |
| Industry: | Financial (SIC Code 6712) | (305) 717-5613 | |
| Type of Shares: | Common Shares | Filing Date: | 1/24/97 | |
| U.S. Shares: | 2,400,000 | Offer Date: | 3/26/97 | |
| Non-U.S. Shares: | 0 | Filing Range: | $14.00 - $16.00 | |
| Primary Shares: | 2,400,000 | Offer Price: | $15.50 | |
| Secondary Shares: | 0 | Gross Spread: | $1.09 | |
| Offering Amount: | $36,000,000 | Selling: | $0.63 | |
| Expenses: | $900,000 | Reallowance: | $0.10 | |
| Shares Out After: | 9,067,925 |
| Manager | Tier | Phone |
| Oppenheimer & Company, Inc. | Lead Manager | (212) 667-7400 |
| Natwest Securities Ltd | Co-manager | (212) 602-5622 |
| Issuer's Law Firm: | Greenberg Traurig Hoffman Lipoff Rosen & Quentel |
| Bank's Law Firm: | Simpson, Thacher & Bartlett |
| Auditor: | Deloitte & Touche |
| Registrar/Transfer Agent: | ChaseMellon Shareholder Services, L.L.C. |
Dollar amounts in U.S. millions except for per share data | |||||
| 9 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/95 | 9/30/96 | 9/30/95 | 9/30/96 | ||
| Revenue: | $34.47 | $27.99 | $25.12 | Assets: | $763.59 |
| Net Income: | $8.00 | $7.32 | $6.89 | Curr Assets: | |
| EPS: | $1.10 | $1.00 | $0.95 | Liabilities: | $722.00 |
| Prior EPS: | $0.78 | $8.08 | $8.84 | Curr Liabilities: | |
| Cash Flow/Oper: | $10.92 | Equity: | $41.59 | ||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company through its subsidiary Hamilton Bank, N.A., is engaged in providing global trade finance, with particular emphasis on trade with and between South America, Central America, the Caribbean and the United States or otherwise involving the Region. Management believes that trade finance provides the company with the opportunity for substantial and profitable growth, primarily with moderate credit risk, and that the Bank is the only domestic financial institution in the State of Florida focusing primarily on financing foreign trade. Through its relationships with approximately 500 correspondent banks and with importers and exporters in the United States and the Region, as well as its location in South Florida, which is becoming a focal point for trade in the Region, the company has been able to take advantage of substantial growth in this trade. Much of this growth has been associated with the adoption of economic stabilization policies in the major countries of the Region. The company operates in all major countries through the Region and has been particularly active in several smaller markets such as Guatemala, Ecuador, Panama and Peru. |
| Competition |
| International trade financing is a highly competitive industry that is dominated by large, multinational financial institutions such as Citibank, N.A., Swiss Bank Corporation and Barclays, among others. With respect to trade finance in or relating to larger countries in the Region, primarily in South America, these larger institutions are the company's primary competition. The company has less competition from these multinational financial institutions providing trade finance services with or in smaller countries in the Region, primarily in Central America and the Caribbean, because the volume of trade financing in such smaller countries has not been as attractive to these larger institutions. With respect to Central American and Caribbean countries, as well as United States domestic customers, the company also competes with regional United States and smaller local financial institutions engaged in trade finance. Many of the company's competitors, particularly multinational financial institutions, have substantially greater financial and other resources than the company. In general, the company competes on the basis of the range of services offered, convenience and speed of service, correspondent banking relationships and on the basis of the rates of fees and commissions charged. Management believes that none of the company's significant United States competitors have the focus on trade finance and offer the range of services that the company offers. Management further believes that the company's strong trade culture, range of services offered, liquid portfolio, management experience, reputation and prompt decision-making and processing capabilities provide it with a competitive advantage that allows it to compete favorably with its competitors for the trade finance business in the Region. The company also has adjusted to its competition by often participating in transactions with certain of its competitors, particularly the larger, multinational financial institutions. |
| Business Plan |
| The company's goal is to continue to grow its earning and maintain a high level of profitability while maintaining strong credit quality by continuing its focus on trade finance. The company intends to achieve its goal by implementing the following strategies: (I) Continue to Take Advantage of Growing Trade in the Region, (ii) Expand Credit Limits to Existing Customers, (iii) Expand the Company's Involvement with Larger Banks and in Larger Markets and (iv) Continue to Expand Domestic Branch System. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used as a contribution to the capital of the Bank to support future growth in its trade finance business and for general corporate purposes. |