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Bread Financial Unveils Exciting Series A Preferred Stock Offering

Bread Financial Unveils Exciting Series A Preferred Stock Offering

Bread Financial Announces Offering of Depositary Shares

Bread Financial Holdings, Inc. (NYSE: BFH) has opened a significant chapter by launching an underwritten public offering of depositary shares. Each share represents a 1/40th interest in the company’s Non-Cumulative Perpetual Preferred Stock, Series A, which has a modest par value of $0.01 per share. This initiative is a strategic move to raise capital, with each Depositary Share offering a liquidation preference of $25, parallel to $1,000 per share of Series A Preferred Stock.

Plans for Listing and Use of Proceeds

The organization is preparing to apply for listing these Depositary Shares on The New York Stock Exchange, signaling its commitment to transparency and enhanced share liquidity. The net proceeds from this offering are set to be allocated towards general corporate purposes, which may include supportive financial activities like contributing or lending the proceeds to their banking subsidiary, Comenity Capital Bank, or repurchasing shares to increase shareholder value.

Management of the Offering

Prominent financial institutions are at the helm of this offering, with Wells Fargo Securities, LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, and RBC Capital Markets, LLC serving as joint bookrunners. Their expertise is expected to ensure a smooth processing of this significant capital-raising effort for Bread Financial.

Conditions Surrounding the Offering

It is important to note that the finalization of this offering is subject to market and other conditions. Therefore, there is no guarantee of its successful completion, as market volatility can impact investment decision-making. The company advises stakeholders to keep an eye on ongoing conditions that could affect the timing and terms of the offering.

About Bread Financial

Bread Financial® (NYSE: BFH), is revolutionizing how consumers approach financial services. As a technology-driven financial services provider, it specializes in delivering personalized payment, lending, and savings solutions to millions across the U.S. The innovative services not only include the company’s own general purpose credit cards but also extend to partnerships with recognized brands in various sectors including travel, health, and specialty apparel, thus fostering a mutually beneficial relationship that enhances customer experiences.

Expert Contact Information

For inquiries related to this announcement, stakeholders can reach out to:

Brian Vereb — Investor Relations
Email: Brian.Vereb@breadfinancial.com

Susan Haugen — Investor Relations
Email: Susan.Haugen@breadfinancial.com

Rachel Stultz — Media
Email: Rachel.Stultz@breadfinancial.com

Frequently Asked Questions

What are the depositary shares being offered by Bread Financial?

The depositary shares represent a 1/40th interest in the company's Series A Preferred Stock.

How will the proceeds from the offering be used?

Proceeds are intended for general corporate purposes, including lending to Comenity Capital Bank and share repurchases.

Which banks are managing this offering?

Wells Fargo, J.P. Morgan, Morgan Stanley, and RBC Capital Markets are acting as joint bookrunners for the offering.

Where do I find updates on this offering?

Keep an eye on regulatory filings and market news for updates about the offering.

What is the aim of Bread Financial's initiatives?

The company focuses on enhancing customer experience through innovative financial services and strengthening shareholder value.

About The Author

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.

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