Zions Bank plans online auction of $1,000-par fixed-to-floating rate perpetual preferreds

By Andrea Heisinger

New York, May 13 - Zions Bancorporation is planning a sale of up to 250,000 shares of series I fixed-to-floating rate noncumulative perpetual preferred stock via an online auction, according to a 424B3 filing with the Securities and Exchange Commission.

The preferreds will be sold at par of $1,000.

The size will be a minimum of 100,000 shares, or $100 million, and maximum of 250,000 shares, or $250 million.

There will be a fixed rate starting on Dec. 15, 2013 and on June 15 and Dec. 15 thereafter until June 15, 2023. After that there is a floating rate of three-month Libor plus a spread, payable on March 15, June 15, Sept. 15 and Dec. 15.

Minimum bids for the dividend will be at 5.45% up to a maximum of 5.95% with increments of 0.05%.

Bookrunners are Deutsche Bank Securities Inc., Goldman Sachs & Co., Keefe, Bruyette & Woods, Macquarie Capital and Zions Direct, Inc.

The company does not intend to list the preferreds on any exchange.

Proceeds will be used for general corporate purposes, including possible redemption of securities.

The financial holding company is based in Salt Lake City.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.