Summary
JPMorgan Chase & Co. (JPM) announced via an 8-K filing on January 30, 2019, its intention to redeem all outstanding Series T Preferred Stock. This action involves 37,000,000 depositary shares, each representing a fractional interest in the 6.70% Non-Cumulative Preferred Stock, Series T. The redemption is scheduled for March 1, 2019, and will be funded using the company's existing cash reserves. This redemption reflects the company's proactive management of its capital structure and its ability to retire higher-cost preferred equity. Investors holding these Series T depositary shares should note the upcoming redemption date and be aware that their investment will be returned at its liquidation preference, plus any accrued dividends up to the redemption date. The company's decision to use available cash suggests a strong liquidity position.
Key Highlights
- 1JPMorgan Chase & Co. is redeeming all 37,000,000 outstanding depositary shares related to its 6.70% Non-Cumulative Preferred Stock, Series T.
- 2The redemption date is set for March 1, 2019.
- 3The company will fund this redemption using its available cash.
- 4This action utilizes the optional redemption provisions of the governing documents for the Series T Preferred Stock.
- 5The filing includes a press release dated January 30, 2019, detailing this redemption event.