Oriental Financial Group Announces Pricing of the Offering of 4,390,243 Shares of Common Stock

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Oriental Financial Group Announces Pricing of the Offering of 4,390,243 Shares of Common Stock

Proceeds to Be Used for the Proposed Acquisition of BBVA's Puerto Rico Operations

SAN JUAN, Puerto Rico--(BUSINESS WIRE)-- Oriental Financial Group Inc. (NYS: OFG) today announced that it has priced an underwritten public offering of 4,390,243 shares of its common stock at a price to the public of $11.10 per share for gross proceeds of approximately $48.7 million. In addition, Oriental has granted the underwriters a 30-day option to purchase up to an additional 439,024 shares of its common stock. Jefferies & Company, Inc. is serving as the sole book-running manager for the offering. Keefe, Bruyette & Woods, Inc. is serving as lead manager and Oriental Financial Services Corp. is serving as co-manager. The offering is expected to close on October 31, 2012.


The net proceeds from the offering, after deducting underwriting discounts and commissions and estimated offering expenses, will be approximately $45.7 million (or approximately $50.5 million if the underwriters exercise their option to purchase additional shares in full). Oriental intends to use the net proceeds from the common stock offering to fund a portion of the purchase price for its previously announced acquisition of the Puerto Rico based operations of Banco Bilbao Vizcaya Argentaria, S.A. (NYS: BBVA) , announced on June 28, 2012. The closing of the common stock offering is not conditioned upon the closing of the acquisition.

This press release does not constitute an offer to sell or the solicitation of any offer to buy any securities of Oriental, nor shall there be any offer or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The common stock offering is being made only by means of a prospectus.

Prospective investors should read the registration statement, which has been declared effective by the SEC, the final prospectus, once available, and other documents Oriental has filed and will file with the SEC for more complete information about Oriental and the common stock offering. Copies of the registration statement, the final prospectus, once available, and other documents Oriental has filed and will file with the SEC may be obtained by visiting EDGAR on the SEC website at www.sec.gov. Additionally, the final prospectus, once available, can be requested by contacting Jefferies & Company, Inc. at 520 Madison Avenue, 12th Floor, New York, NY, 10022, Attention: Prospectus Department, by calling (877) 547-6340 or by emailing Prospectus_Department@Jefferies.com.

About Oriental Financial Group

Oriental Financial Group Inc. is a diversified financial holding company that operates under U.S. and Puerto Rico banking laws and regulations, principally through its two subsidiaries, Oriental Bank and Trust and Oriental Financial Services. Now in its 48th year in business, Oriental provides a full range of commercial, consumer and mortgage banking services, as well as financial planning, trust, insurance, investment brokerage and investment banking services, primarily in Puerto Rico, through 28 financial centers.

Forward-Looking Statements

The information included in this document contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and involve certain risks and uncertainties that may cause actual results to differ materially from those expressed in forward-looking statements.

Factors that might cause such a difference include, but are not limited to (i) the ability to receive and timing of necessary regulatory approvals and the ability to raise the necessary capital to consummate the acquisition of BBVA's Puerto Rico operations, (ii) difficulties in integrating BBVA's Puerto Rico operations into Oriental's operations; (iii) the amounts by which our assumptions related to the acquisition, including future financing, fail to approximate actual results; (iv) the rate of declining growth in the economy and employment levels, as well as general business and economic conditions; (v) changes in interest rates, as well as the magnitude of such changes; (vi) the fiscal and monetary policies of the federal government and its agencies; (vii) changes in federal bank regulatory and supervisory policies, including required levels of capital; (viii) the relative strength or weakness of the consumer and commercial credit sectors and of the real estate market in Puerto Rico; (ix) the performance of the stock and bond markets; (x) competition in the financial services industry; (xi) possible legislative, tax or regulatory changes; and (xii) difficulties in combining the operations of any other acquired entity.

For a discussion of such factors and certain risks and uncertainties to which Oriental is subject, see Oriental's Annual Report on Form 10-K for the year ended December 31, 2011, the registration statement and the final prospectus, once available, as well as its other filings with the SEC. Other than to the extent required by applicable law, including the requirements of applicable securities laws, Oriental assumes no obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements.



Anreder & Company
212-532-3232
Steven Anreder
steven.anreder@anreder.com
or
Gary Fishman
gary.fishman@anreder.com

KEYWORDS:   Caribbean  Puerto Rico

INDUSTRY KEYWORDS:

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