June 24 (Reuters) - Private equity-backed CoastalSouth

Bancshares ( COSO ) is targeting a valuation of up to $281.4

million in its initial public offering in the United States, the

community bank said on Tuesday.

WHY IT'S IMPORTANT

With the 2023 regional banking crisis in the rearview

mirror, analysts expect an uptick in banking IPOs in the

near-future after years of subdued activity.

Castle Creek-backed Northpointe Bancshares ( NPB ) and the

Republican Party's top bank, Chain Bridge Bancorp ( CBNA ), have

gone public in New York since October 2024.

CONTEXT

Founded in 2004, CoastalSouth currently operates 11 retail

banking branches in the Lowcountry of South Carolina, as well as

the Savannah and Atlanta markets in Georgia.

The bank has $2.2 billion in assets and competes against the

likes of SouthState ( SSB ) and South Atlantic Bancshares ( SABK )

.

In 2017, CoastalSouth raised $62 million to bolster its

capital position. The recapitalization was led by investment

firms Patriot Financial Partners, EJF Capital and GCP Capital

Partners.

BY THE NUMBERS

Atlanta, Georgia-based CoastalSouth and some of its existing

shareholders are seeking up to $61.1 million by offering 2.6

million shares priced between $21.50 and $23.50 apiece.

CoastalSouth is marketing 1.7 million shares, while some

backers are parting ways with 900,000 shares.

The bank currently trades in the over-the-counter market.

Its last reported sale price was $19.40 apiece.

WHAT'S NEXT

CoastalSouth will list on the New York Stock Exchange under

the symbol "COSO".

Piper Sandler and Stephens are the underwriters for the

offering.

The bank plans to use the proceeds for general purposes,

which may include debt repayment as well as funding branch

expansion and acquisitions.