What MetroCity Bankshares, Inc. told the SEC could break it.

MetroCity's loan book is concentrated in commercial real estate and residential mortgage loans, with 97.6% of gross loans held for investment secured by real property at December 31, 2025 — concentrating credit risk in property values and making it highly sensitive to a real-estate downturn.

“Our loan portfolio is concentrated in commercial real estate and residential mortgage loans with the remaining balance in construction and development, commercial and industrial, and consumer loans. 97.6% of our gross loans held for investment were secured by real property as of December 31, 2025, compared to 97.5% as of”

MetroCity Bankshares is a holding company whose principal source of funds is dividends from its subsidiary bank; federal/state regulations and the bank's earnings limit those dividends, so capital or earnings pressure at the Bank could constrain the holding company's ability to pay expenses and shareholder dividends.

“We receive substantially all of our revenue from dividends from the Bank, which we use as the principal source of funds to pay our expenses. Various federal and/or state laws and regulations limit the amount of dividends that the Bank may pay us.”

MetroCity is headquartered in metro Atlanta and operates 29 branches concentrated in growing multi-ethnic communities across eight states; its culturally-focused, niche-community banking model ties results to economic conditions and demographics in those specific metropolitan markets.

“Our 29 full-service branch locations in Alabama, California Florida, Georgia, New York, New Jersey, Texas and Virginia are located in growing multi-ethnic communities.”

MetroCity is subject to extensive bank regulation — capital adequacy (failure to be well-capitalized restricts dividends/growth and brokered deposits), AML Act of 2020/BSA and OFAC sanctions compliance, and changing FDIC-insurance costs — that can impose penalties and operational constraints.

“Failure to be well-capitalized or to meet minimum capital requirements could also result in restrictions on the Bank's ability to pay dividends or otherwise distribute capital or to receive regulatory approval of applications or other restrictions on its growth.”