UMB Financial Corporation (NASDAQ: UMBF) has announced the pricing of an underwritten public offering of 12,000,000 depositary shares, with each representing a 1/400th ownership interest in a share of its 7.750% fixed-rate reset non-cumulative perpetual preferred stock, series B. The offering, with a liquidation preference of $10,000 per share of series B preferred stock (equivalent to $25 per depositary share), is expected to close on June 12, 2025.
The estimated net proceeds from this offering, after deducting the underwriting discounts and estimated offering expenses payable by UMB, will be approximately $294,529,000. UMB plans to utilize the net proceeds for general corporate purposes, including the redemption of all outstanding shares of its 7.00% fixed-rate reset non-cumulative perpetual preferred stock, series A, and the repurchase, redemption, or retirement of a portion of its 3.70% fixed-to-fixed rate subordinated notes due 2030.
RBC Capital Markets, LLC, and J.P. Morgan Securities LLC are acting as joint book-running managers for the offering, while Piper Sandler & Co. and Wells Fargo Securities, LLC are acting as co-managers for the offering.
UMB Financial Corporation is a financial services company headquartered in Kansas City, Missouri. It offers commercial banking, personal banking, and institutional banking services, operating branches throughout several states. As the company's reach continues to grow, it also serves business clients nationwide and institutional clients in several countries. Following these announcements, the company's shares moved -0.41%, and are now trading at a price of $103.37. If you want to know more, read the company's complete 8-K report here.
