Financial Institutions, Inc. Prices Common Stock Offering: A Strategic Move for Growth

Financial Institutions, Inc. (FISI), the parent company of Five Star Bank and Courier Capital, has announced the pricing of its common stock offering. The company has priced the offering at $25.00 per share, with expected net proceeds of approximately $95.0 million. This strategic move aims to support the company's continued growth and strengthen its balance sheet.

FISI plans to use the net proceeds from the offering for general corporate purposes, including a balance sheet restructuring. This restructuring involves repositioning a substantial portion of its available-for-sale debt securities portfolio to support continued growth and repaying indebtedness. By optimizing its capital structure, FISI can allocate more resources towards growth initiatives, such as expanding its banking and wealth management services.

The company has engaged Keefe, Bruyette & Woods, Inc., A Stifel Company, as the sole bookrunner for the offering, and Piper Sandler & Co. is acting as the co-manager. The offering is being made pursuant to a registration statement on Form S-3 (File No. 333-283475) that was declared effective by the Securities and Exchange Commission (SEC) on December 4, 2024.



FISI's strategic move to optimize its capital structure and support continued growth is a positive sign for investors. By repositioning its debt securities portfolio and repaying indebtedness, the company can improve its financial flexibility and better position itself for future growth opportunities. This strategic decision demonstrates FISI's commitment to maintaining a strong financial foundation, which is crucial for its long-term success and shareholder value creation.



In conclusion, Financial Institutions, Inc.'s common stock offering is a strategic move that aligns with the company's long-term financial strategy. By optimizing its capital structure and supporting continued growth, FISI is well-positioned to create value for shareholders in the long run. Investors should monitor the company's progress and consider its offerings as part of a balanced portfolio.