Bread Financial Holdings Raises $72.6M in Public Offering

By Philip Seaworth • Friday, November 21 15:33 • Permanent Link

Bread Financial Holdings, Inc. (NYSE: BFH) has announced the pricing of its underwritten public offering of depositary shares, each representing a 1/40th interest in a share of its non-cumulative perpetual preferred stock, series A, par value $0.01 per share. The liquidation preference of the series A preferred stock is $25 per depositary share, equivalent to $1,000 per share of series A preferred stock.

The offering is expected to result in approximately $72,637,500 in net proceeds to the company, after deducting the underwriting discounts and estimated offering expenses payable by the company.

The company intends to use the net proceeds from the sale of the depositary shares for general corporate purposes, including contributing or lending all or a portion of the proceeds to one of its subsidiary banks, Comenity Capital Bank, and share repurchases.

The joint bookrunners for the offering are Wells Fargo Securities, LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, and RBC Capital Markets, LLC.

This offering is being made pursuant to an effective registration statement on Form S-3 previously filed with the Securities and Exchange Commission (SEC) and a prospectus supplement. Copies of the final prospectus supplement and accompanying prospectus relating to the offering may be obtained from the joint bookrunners.

Bread Financial® (NYSE: BFH) is a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions to millions of U.S. consumers. The company's payment solutions, including Bread Financial general purpose credit cards and savings products, aim to empower its customers and their passions for a better life. Additionally, the company delivers growth for some of the most recognized brands in various industries through private label and co-brand credit cards and pay-over-time products, providing choice and value to their shared customers. The market has reacted to these announcements by moving the company's shares 5.93% to a price of $65.33. If you want to know more, read the company's complete 8-K report here.

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