UB Bancorp (OTCPK:UBNC) announced private placement of unsecured subordinated notes due May 29, 2030 for gross proceeds of $25,000,000 on May 29, 2020. The notes are unsecured with a term of ten years, maturing on May 29, 2030. These notes bear an initial interest rate of 5% per annum, paying interest semi-annually in arrears on September 30th and March 30th. From May 30, 2025 through maturity, unless otherwise redeemed by the company, the interest rate on the notes will reset quarterly and will be tied to three-month SOFR plus 464 basis points and will pay quarterly in arrears. The transaction included participation from 18 investors pursuant to exemption provided under Regulation D. The minimum investment accepted from any outside investors was $500,000.