Connecticut Administrative Code
Title 36a - The Banking Law of Connecticut
136 - Conversion of Mutual Connecticut Banks to Capital Stock Connecticut Banks
Section 36a-136-20 - Sale of conversion shares
Current through September 9, 2024
(a) The converting institution shall sell its conversion shares in a subscription offering. It shall distribute order forms to all eligible account holders, supplemental eligible account holders and other depositors with subscriptions rights to enable them to subscribe for the conversion shares they are permitted under the plan of conversion. The converting institution may either send the order forms with the offering circular or after it distributes the offering circular.
(b) The converting institution may sell its conversion shares in a community offering, a public offering or both. It may begin the community offering, the public offering or both at any time during the subscription offering or upon conclusion of the subscription offering.
(c) The converting institution may pay underwriting commissions, including underwriting discounts, if prior to the payment of such commissions, it obtains a letter of no objection from the commissioner. The converting institution may reimburse an underwriter for accountable expenses in a subscription offering if the public offering is limited. If no public offering occurs, the converting institution may pay an underwriter a consulting fee if prior to the payment of such fee it obtains a letter of no objection from the commissioner.
(d) If the community offering, the public offering or both are conducted at the same time as the subscription offering, the converting institution shall fill all subscription orders first.
(e) The order form shall be prepared in compliance with this section and the form of the "Order Form for Conversion Shares" which can be obtained on the department's website.
