Summary
Wells Fargo & Company/MN (WFC) has filed an 8-K report detailing the creation and subsequent sale of a new series of preferred stock. Specifically, the company designated and authorized 70,000 shares of "6.55% Fixed Rate Reset Non-Cumulative Perpetual Class A Preferred Stock, Series HH." These shares have a liquidation preference of $25,000 per share, totaling a significant potential capital raise upon full issuance. Following this designation, on August 19, 2026, WFC successfully sold 1,750,000 Depositary Shares, with each representing a fractional interest (1/25th) in a share of the Series HH Preferred Stock. This issuance is part of a broader capital-raising effort, evidenced by the accompanying Underwriting Agreement and filings related to a Registration Statement on Form S-3. Investors should note the perpetual and non-cumulative nature of this preferred stock, which carry specific risk and return profiles.
Key Highlights
- 1Wells Fargo & Company has created and designated a new series of preferred stock: 6.55% Fixed Rate Reset Non-Cumulative Perpetual Class A Preferred Stock, Series HH.
- 2The Series HH Preferred Stock has a liquidation preference of $25,000 per share, with 70,000 shares authorized.
- 3The company sold 1,750,000 Depositary Shares, representing interests in the Series HH Preferred Stock, on August 19, 2026.
- 4This issuance is structured as perpetual and non-cumulative, meaning dividends are not guaranteed to be paid if the company does not declare them, and they do not accrue.
- 5The filing includes key documents such as the Certificate of Designation, Deposit Agreement, Underwriting Agreement, and legal opinions.
- 6The issuance is linked to a Registration Statement on Form S-3, indicating a planned offering to the public.
- 7The offering was facilitated by Wells Fargo Securities, LLC as the representative of the underwriters.