Third Coast Bank Announces $150 Million Securitization of Commercial Real Estate Loans in a Transaction Sponsored by EJF Capital LLC

Core Viewpoint - Third Coast Bank has successfully completed a $150 million securitization transaction involving commercial real estate loans, which is expected to enhance the bank's capital structure and reduce risk-weighted assets [1][6]. Group 1: Transaction Details - The securitization transaction was arranged by EJF Capital, a global alternative asset management firm managing approximately $5.3 billion in assets as of March 31, 2025 [2]. - The Bank originated the Mortgage Loans and subsequently created participation interests, selling some to EJF CRT 2025-2 Depositor LLC, which then sold them to EJF CRT 2025-2 LLC [3]. - The Issuer issued Asset-Backed Notes, Series 2025-2, which included Class A-1 Notes sold to the Bank and Class M-1 Notes sold to affiliates of the Depositor [4]. Group 2: Impact on the Bank - The transactions are anticipated to lower the Bank's risk-weighted assets as per current risk-based capital regulations and reduce the ratio of loans for construction and land development to total capital [6]. - The Company believes these transactions will enhance the diversity of the Bank's on-balance sheet loan portfolio [6]. Group 3: Leadership Commentary - Bart Caraway, President & CEO of Third Coast Bank, expressed pride in the team's efforts in completing the securitization, emphasizing the synergy and commitment to delivering value to stakeholders [7].