Company: NEWTP
Filing Date: 2025-08-15
Form Type: 424B2
Source: 0001587987-25-000152
Chunk: 16

Company: NewtekOne, Inc.
Filing Date: 2025-08-15
Form: 424B2
Chunk 16
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 cannot guarantee that the Federal Reserve would approve any redemption of the Preferred Stock that the Company may propose. In addition, the Company’s ability to redeem the Preferred Stock may also be limited by the terms of the agreements governing the Company’s future indebtedness or its subsidiaries’ ability to pay dividends to the Company under the terms of the agreements governing the intendedness of its subsidiaries.

Shares of the Preferred Stock may be redeemed at the Company’s option at any time, including prior to the First Reset Date, within 90 days following the occurrence of a regulatory capital treatment event.

Subject to the approval of the Federal Reserve, at the Company’s option, the Company may redeem shares of the Preferred Stock in whole, but not in part, prior to the First Reset Date within 90 days following the occurrence of a “regulatory capital treatment event,” such as a change or proposed change in law or regulation on or after the date hereof with respect to whether the Preferred Stock would qualify as an additional Tier 1 capital instrument.

Although the terms of the Preferred Stock have been established to satisfy the criteria for additional Tier 1 capital instruments consistent with the Basel III capital framework as set forth in the final rules issued by the U.S. federal banking regulators, it is possible that the Preferred Stock may not satisfy the criteria set forth as a result of official administrative or judicial decisions, actions or pronouncements interpreting those rules and announced after the issuance of the Preferred Stock, or as a result of future changes in law or regulations. Therefore, a regulatory capital treatment event could occur whereby the Company would have the right, subject to prior Federal Reserve approval, to redeem the Preferred Stock in accordance with its terms prior to the First Reset Date at a redemption price equal to $1,000 per share (equivalent to $25.00 per depositary share), plus declared and unpaid dividends to, but excluding the date of redemption, without accumulation of undeclared dividends.

The dividend rate will reset on the First Reset Date and each subsequent reset date and any dividends declared may be less than the initial fixed annual rate of 8.500% in effect until the First Reset Date.

The annual dividend rate on the Preferred Stock for each reset period will equal the five-year treasury rate as of the most recent reset dividend determination date plus 4.735%. Therefore, the dividend rate and any dividends declared after the First Reset Date could be more or less than the fixed dividend rate applicable for the period from, and including, the original issue date to, but excluding, the First Reset Date. The Company