Bread Financial Completes $135M Preferred Stock Offering, Including Partial Over-Allotment

summarizeSummary

Bread Financial completed its preferred stock offering, raising $135 million in gross proceeds by issuing 5.4 million depositary shares, including a partial exercise of the over-allotment option.

check_boxKey Events

• Preferred Stock Offering Completed

  The company issued and sold 5,400,000 depositary shares of its 8.875% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series B, on May 12, 2026.

• Significant Capital Raised

  The offering generated gross proceeds of $135 million, including 600,000 depositary shares from the underwriters' over-allotment option, resulting in approximately $130.75 million in net proceeds.

• Finalizes Previous Announcements

  This 8-K confirms the execution and completion of the offering, following the initial launch and pricing details disclosed in earlier filings on May 5th and May 6th, 2026.

• Charter Amendment for Preferred Stock

  A Certificate of Designations was filed and became effective on May 12, 2026, amending the company's charter to establish the terms of the Series B Preferred Stock.

auto_awesomeAnalysis

Bread Financial Holdings has successfully completed its public offering of Series B Preferred Stock, issuing and selling 5.4 million depositary shares for gross proceeds of $135 million. This includes 600,000 depositary shares from the underwriters' over-allotment option. This filing finalizes the capital raise that was previously announced and priced, providing the company with approximately $130.75 million in net proceeds after underwriting discounts. The 8.875% fixed rate reset non-cumulative perpetual preferred stock strengthens the company's capital structure and provides additional liquidity for general corporate purposes, following recent strong earnings and share repurchase authorizations.