Southside Bancshares, Inc. announced the completion of its private placement of $100.0 million in fixed-to-floating rate subordinated notes due 2030 (the ‘Notes’) on November 6, 2020. The Notes bear interest at a fixed rate of 3.875% for the first five years, and the interest rate will reset quarterly thereafter to the then current three-month Secured Overnight Financing Rate, as published by the Federal Reserve Bank of New York, plus 366 basis points. The Company is entitled to redeem the Notes, in whole or in part, on any interest payment date on or after November 15, 2025, or at any time, in whole but not in part, upon certain other specified events. The Notes are intended to qualify as Tier 2 capital for the Company for regulatory capital purposes. The company intends to use the net proceeds from the offering for general corporate purposes. In connection with the issuance and sale of the Notes, the Company entered into a registration rights agreement with each of the purchasers of the Notes pursuant to which the Company has agreed to take certain actions to provide for the exchange of the Notes for subordinated notes that are registered under the Securities Act of 1933, as amended (the ‘Securities Act’), with substantially the same terms as the Notes. Piper Sandler & Co. served as placement agent for the offering. Alston & Bird LLP served as legal counsel to the Company and Holland & Knight LLP served as legal counsel to the placement agent.