Summary
State Street Corporation (STT) announced on January 14, 2021, a significant redemption of its Series F preferred stock. The company will redeem 5,000 out of 7,500 outstanding shares of its non-cumulative perpetual preferred stock, Series F. This redemption will occur on March 15, 2021, with a redemption price of $100,000 per share (or $1,000.00 per depositary share), plus any declared and unpaid dividends. Investors holding these shares should note that the redemption price does not include any declared and unpaid dividends, as a separate dividend payment is being made. In conjunction with the redemption, State Street also declared a "March Dividend" of $953.38 per share of Series F preferred stock (approximately $9.53380 per depositary share). This dividend covers the period from December 15, 2020, up to March 15, 2021, and will be paid separately to shareholders of record as of March 1, 2021. This action suggests a strategic move by State Street to manage its capital structure and potentially reduce its preferred stock obligations.
Key Highlights
- 1State Street to redeem 5,000 out of 7,500 outstanding Series F preferred shares.
- 2Redemption date set for March 15, 2021.
- 3Redemption price is $100,000 per share ($1,000.00 per depositary share).
- 4A separate "March Dividend" of approximately $9.53 per depositary share has been declared.
- 5The March Dividend covers the period up to March 15, 2021.
- 6Dividends are not included in the redemption price as they will be paid separately.
- 7This action may indicate a capital management strategy by State Street.