PROVIDENCE – Citizens Financial Group Inc., the holding company for Citizens Bank, announced a stock offering Tuesday valued at $300 million – the company’s second offering of that size in three months.
The Providence-based company said it intends to use net proceeds from the sale for “general corporate purposes,” but it was not more specific.
Citizens said it is offering 12 million depositary shares each representing a 1/40th interest in a share of its Series D preferred stock, at a 6.35 percent fixed-to-floating rate. With a liquidation preference of $1,000 per share, equivalent to $25 per depositary share, the offering has an aggregate price of $300 million, the company said.
The offering is expected to close Jan. 29.
Citizens did not respond Tuesday to requests for comment.
Morgan Stanley & Co. LLC, Merrill Lynch Pierce Fenner & Smith Inc., UBS Securities LLC, Wells Fargo Securities, and Citizens Capital Markets Inc. are serving as underwriters for the offering.
In October, Citizens announced another $300 million stock offering, also saying it intended to use proceeds for general corporate purposes.
At that time, the company offered 300,000 shares of Series C preferred stock, at a 6.38 percent fixed-to-floating rate. With a liquidation preference of $1,000 per share, the October offering’s aggregate price also was $300 million.
Scott Blake is a PBN staff writer. Email him at Blake@PBN.com.
