0001628280-26-035713
SEC filingForbright, Inc., a digital-first bank holding company focused on middle-market lending and digital consumer deposits, is filing an S-1 for an IPO of Class A common stock to access public markets and support growth. Assets grew from $1.9B to $8.2B (2020-2026) with net income rising to $87.9M in 2025.
Forbright, Inc. is a digital-first bank holding company operating through Forbright Bank, targeting the $10 trillion U.S. middle market with specialized lending strategies (healthcare 31%, lender finance 19%, real estate 19%) and a scalable digital deposit platform. Launched in May 2024, digital deposits reached $3.9B by Q1 2026 (55% of $7.1B total deposits), equivalent to 200 physical branches per Federal Reserve/ABA data, with low cost-to-serve (15 bps FY2025) and strong metrics (NPS 63 vs. industry avg 41; fraud losses <0.08 bps). Loan portfolio grew 31% YoY to $5.8B, funded by deposits (loan-to-deposit 81%), with NIM 3.76% and ROATCE 12.06% in FY2025. Fee businesses (Alliance Partners, FHA/HUD, solar servicing) contributed 21.2% of revenue, up from 9.1% prior year.
The S-1 supports an IPO of Class A common stock (voting) alongside non-voting Class B (convertible under specific conditions), with proceeds for general corporate purposes amid asset growth from $1.9B (2020) to $8.2B (Q1 2026) and net income $87.9M (FY2025). Dual-class preserves insider control (significant Class B holdings); no dilution details disclosed. Underwriters include Goldman Sachs, JPMorgan, Barclays.
Risks center on competition from larger banks/private credit, middle-market credit sensitivity, digital deposit rate competition, deferred tax asset realizability ($153M net), and operational/cyber risks. CRE concentration 139.8% of capital (below limits); net charge-offs low at 0.28% FY2025. Management led by founder/CEO John Delaney (prior CapitalSource/HealthCare Financial public companies) with experienced team (avg 27 years financial services). CBLR framework used; leverage ratio 8.92% (Company), 10.19% (Bank) Q1 2026.
Forbright's moat lies in fintech-bank hybrid: cloud-native platform, national lending expertise, fee diversification. Virtuous cycle of digital deposits funding high-ROE lending (yield 8.8%) positions for scale, but execution risks in deposit retention amid rate volatility and regulatory scrutiny remain key investor considerations.