In Connection With The Equity Capital Raise Transaction, NYCB Will Sell And Issue Shares Of Common Stock At A Price Per Share Of $2.00 And A Series Of Convertible Preferred Stock With A Conversion Price Of $2.00, For An Aggregate Investment Amount Of $1.05B
Portfolio Pulse from Benzinga Newsdesk
NYCB is conducting an equity capital raise transaction, issuing shares of common stock and convertible preferred stock at $2.00 per share, aiming to raise $1.05 billion. Investors will also receive 60% warrant coverage at $2.50 per share. The preferred stock, convertible into common stock, comes with quarterly dividends and specific conversion conditions, including regulatory approvals and charter amendments. Liberty has rights for an underwritten shelf take-down and block trades.
March 06, 2024 | 7:15 pm
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NYCB is raising $1.05 billion through the sale of common and convertible preferred stock at $2.00/share, with additional warrant coverage, aiming for financial growth and regulatory approvals.
The capital raise is a significant financial move for NYCB, indicating a strategic effort to strengthen its balance sheet and potentially expand operations. The issuance of common and convertible preferred stock, along with warrant coverage, suggests confidence in the company's future growth. The conversion conditions and regulatory milestones also highlight a forward-looking approach to compliance and corporate governance. This transaction could positively influence investor sentiment and stock price in the short term, given the substantial amount raised and the strategic implications for the company's future.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100