Citigroup greenshoe exercised, lifts convertible preferreds to $3.17 billion

By Devika Patel

Knoxville, Tenn., Jan. 25 - Underwriters for Citigroup Inc.'s non-cumulative convertible preferred stock exercised their over-allotment option for $268.65 million, increasing the size of the issue to $3.17 billion, according to a filing with the Securities and Exchange Commission Friday.

As previously reported, Citigroup originally sold $2.9 billion of perpetual non-cumulative convertible preferred stock on Jan. 17 with a 6.5% dividend and a 35% initial conversion premium.

The public convertible offering came as $50 liquidation preference shares, each representing 1/1000th of a $50,000 liquidation preference preferred share.

Each preferred share will be convertible at any time into 1,482.3503 shares of common stock of the company.

Citi Markets & Banking was the bookrunner of the transaction.

The commercial and investment bank is based in New York.

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