Truist Financial Finalizes $500M Preferred Stock Offering with 6.250% Fixed Rate

summarizeSummary

Truist Financial has completed a $500 million offering of preferred stock with a 6.250% fixed dividend rate, raising capital for general corporate purposes including potential common stock repurchases.

check_boxKey Events · Financing and Capital Events · TFC

• Preferred Stock Offering Finalized

  Truist Financial Corporation has finalized the offering of 500,000 depositary shares, each representing a 1/25th interest in 6.250% Series S Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock.

• Capital Raised

  The offering generated $500 million in gross proceeds, with net proceeds of approximately $495 million after underwriting discounts.

• Fixed Dividend Rate

  The preferred stock will pay a fixed annual dividend rate of 6.250% on the liquidation preference amount until June 15, 2031, after which the rate will reset based on the five-year U.S. treasury rate plus 2.129%.

• Use of Proceeds

  Net proceeds will be used for general corporate purposes, which may include redemption of preferred stock, acquisitions, repurchasing common stock, repayment of maturing obligations, and funding subsidiaries.

auto_awesomeAnalysis · TFC · Finance

Truist Financial has finalized the terms for a $500 million offering of depositary shares, each representing a 1/25th interest in 6.250% Series S Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock. This offering, which follows a Free Writing Prospectus filed on May 12, 2026, provides capital for general corporate purposes, including potential common stock repurchases, debt repayment, and funding subsidiaries. While the issuance of preferred stock is dilutive to common shareholders in terms of claims on assets and earnings, the capital raise strengthens the company's balance sheet and the potential for common stock buybacks mitigates some of the dilutive impact.