UPDATE 1-Webster to sell 6.6 mln shrs, use proceeds to exit TARP
* To buy back $200 mln worth preferred shrs from Treasury
* Warburg Pincus and affiliates to buy 2.1 mln shrs
Dec 20 (Reuters) - Webster Financial Corp (WBS.N) said it will sell 6.6 million shares and use the proceeds to buy back the remaining $200 million of preferred shares issued to the U.S. Treasury as part of the government's financial bailout program.
Private equity firm Warburg Pincus and one of its affiliates, each an existing stockholder, have agreed to purchase 2.1 million shares of Webster's common stock, the company said in a statement.
The Waterbury, Connecticut-based company had received $400 million in 2008 under the U.S. government's bailout program.
Barclays Capital will be the book-running manager for the common stock offering.
Shares of the company closed at $18.49 on Monday on the New York Stock Exchange. The stock has gained 14 percent since early March, when Webster announced its first repurchase from the U.S. government. (Reporting by Sweta Singh in Bangalore; Editing by Roshni Menon)
- Tesla says in talks with BMW over car batteries, parts
- Missouri officials to reveal grand jury's decision on teen's shooting |
- Hagel, under pressure, resigns as U.S. defense secretary |
- Actor Dwight Henry eyed in New Orleans killing after arrest for theft
- Iran nuclear talks extended seven months after failing to meet deadline |
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video