Summary
Fifth Third Bancorp (FITB) filed an 8-K/A on December 9, 2013, to report on two key events. The primary focus is the closing of its offering of depositary shares representing Series I Preferred Stock on December 9, 2013. This offering resulted in net proceeds of approximately $442 million after expenses and underwriting discounts. These depositary shares represent ownership interests in Fifth Third's 6.625% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series I. Additionally, on December 5, 2013, Fifth Third filed a Certificate of Amendment to its Amended Articles of Incorporation. This amendment formally established the designations, preferences, limitations, and relative rights of this Series I Preferred Stock, making it effective upon filing. These actions indicate Fifth Third Bancorp's active management of its capital structure to strengthen its financial position.
Key Highlights
- 1Fifth Third Bancorp closed an offering of 18,000,000 depositary shares representing Series I Preferred Stock on December 9, 2013.
- 2The net proceeds from the depositary shares offering amounted to approximately $442 million.
- 3The Series I Preferred Stock is a 6.625% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock.
- 4On December 5, 2013, Fifth Third filed a Certificate of Amendment to its Articles of Incorporation to formally establish the Series I Preferred Stock's terms.
- 5The offering was conducted under an underwriting agreement with major financial institutions including Goldman, Sachs & Co., Merrill Lynch, and Morgan Stanley.
- 6The depositary shares represent a 1/1000th ownership interest in a share of Series I Preferred Stock, with a liquidation preference of $25,000 per share of preferred stock.