Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers F > Headlines for First Republic Bank > News item |
Recent preferred deals mixed; First Republic sells upsized issue at tight end of talk
By Stephanie N. Rotondo
Seattle, Feb. 3 – A preferred stock trader said recently priced deals were under “some selling pressure” in midweek trading.
Bank of America Corp.’s $1 billion of 6.2% series CC non-cumulative perpetual preferred stock (NYSE: BACPC) was pegged at $25.30 early in the session but eventually capped its losses, ending the day a penny higher at $25.39.
Meanwhile, Wells Fargo & Co.’s $875 million issue of 5.7% series W class A noncumulative perpetual preferred stock (NYSE: WFCPW) declined 22 cents to $24.97.
The paper was seen at $25.05 at midday.
From last week’s business, Citigroup Inc.’s 6.3% series S noncumulative preferreds were quoted at $24.95 bid, par offered, closing at par. That was unchanged on the day.
Those preferreds came Jan. 26, with $900 million shares being sold. On Monday, a market source reported that the greenshoe was exercised, lifting total issuance to $1.35 billion.
The paper is trading under a temporary ticker, “CTGGP.”
Despite the weakness seen in the newer issues, First Republic Bank brought an upsized offering of series G noncumulative perpetual preferreds.
The $150 million deal – upsized from $100 million – came after traders reported rumors of a regional bank deal on Tuesday.
The dividend came at 5.5%. Price talk was in a 5.5% to 5.625% area, according to a market source.
BofA Merrill Lynch, Morgan Stanley & Co. LLC, UBS Securities LLC and Wells Fargo Securities LLC are running the books.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.