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US SEC sought additional disclosures in NYCB's proxy statement, filings show
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US SEC sought additional disclosures in NYCB's proxy statement, filings show
Jun 10, 2024 12:30 PM

June 10 (Reuters) - The U.S. Securities and Exchange

Commission in April had sought additional disclosures from New

York Community Bancorp ( NYCB ) in its preliminary proxy

statement, regulatory filings made by the regional lender showed

on Monday.

The regulator requested NYCB to revise its proxy filing to

briefly discuss the reasons for its recent capital-raise

including its initiative to continue reducing its exposure to

the beleaguered commercial real estate (CRE) sector.

In March, the bank had raised $1.05 billion from a

consortium of investors, which included former U.S. Treasury

Secretary Steven Mnuchin.

The SEC sought revised disclosures on eight different

matters in the proxy filing. NYCB in response filed a revised

preliminary proxy statement in late-April.

The regulator had asked the bank to expand and clarify how

its board administered the risk oversight function and to update

the progress of its review of material weakness surrounding its

loan review process in its proxy filing.

The SEC completed the review of NYCB's proxy filing

statement in late-April.

NYCB has been under immense pressure since January when it

slashed its dividend and reported a surprise quarterly loss due

to its exposure to the CRE sector.

Shares of the lender have lost more than two-thirds of their

value since it reported its first-quarter results in January.

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