Key Developments For Popular, Inc.
Popular, Inc. (BPOP.O) (Nasdaq)
Popular, Inc. Amends Certain Terms And Extends Expiration Date Of Exchange Offer
Popular, Inc. announced that it has amended certain terms of and extended the expiration date for its offer to issue up to 390 million shares of its Common Stock in exchange for its Series A Preferred Stock and Series B Preferred Stock and for the Trust Preferred Securities referred to below (the Exchange Offer). The expiration date for the Exchange Offer has been extended until 11:59 p.m., New York City time, on August 20, 2009, unless the Company further extends the Exchange Offer or terminates it prior to such date.
Popular, Inc. Extends Expiration Date Of Exchange Offer
Popular, Inc. announced that it has extended the expiration date for its offer to issue up to 390 million shares of its Common Stock in exchange for its Series A Preferred Stock and Series B Preferred Stock and for Trust Preferred Securities (the Exchange Offer) until 11:59 PM on August 13, 2009, unless the Company further extends the exchange offer or terminates it prior to such date. on July 28, 2009, approximately $700.67 million in aggregate liquidation amount of Trust Preferred Securities and liquidation preference of Series A Preferred Stock and Series B Preferred Stock had been tendered in the exchange offer as follows: $153,338,750 in aggregate liquidation preference of shares of its Series A Preferred Stock; $352,983,325 in aggregate liquidation preference of shares of its Series B Preferred Stock; $31,539,000 in aggregate liquidation amount of the 8.327% Trust Preferred Securities; $65,214,000 in aggregate liquidation amount of the 6.564% Trust Preferred Securities; $84,523,300 in aggregate liquidation amount of the 6.70% Cumulative Monthly Income Trust Preferred Securities; and $13,071,200 in aggregate liquidation amount of the 6.125% Cumulative Monthly Income Trust Preferred Securities.
Popular, Inc. Commences Exchange Offer To Issue Up To 390 Million Shares Of Common Stock
Popular, Inc. announced that it has commenced an offer to issue up to 390 million shares of its common stock in exchange for its Series A preferred stock and Series B preferred stock and for the Trust Preferred Securities. In connection with the exchange offer, for each share of Series A preferred stock, share of Series B preferred stock or Trust Preferred Security accepted in accordance with the terms of the exchange offer, the Company will issue a number of its shares of common stock equal to the exchange value. The expiration date for the exchange offer is July 28, 2009, unless the Company extends the exchange offer or terminates it early. In connection with the exchange offer, the Company is seeking the consent of holders of shares of its Series A and Series B preferred stock to issue to the U.S. Treasury shares of senior preferred stock, in exchange for the Company's Series C preferred stock currently held by the Treasury under the TARP. In order to participate in the exchange offer, holders of shares of Series A and Series B preferred stock will be required to grant such consent. If those consents are not obtained, the Company has agreed with the U.S. Treasury to exchange its Series C preferred stock for newly issued trust preferred securities. The lead dealer managers for the exchange offer are UBS Investment Bank.
Whatley Drake & Kallas, LLC Announces Filing of Class Action Lawsuit Against Popular, Inc.
The law firm of Whatley Drake & Kallas, LLC announced that a class action lawsuit was filed in the United States District Court for the District of Puerto Rico on behalf of purchasers of securities of Popular, Inc. between January 23, 2008 and January 22, 2009, inclusive. The Complaint charges Popular and certain of its officers and directors with violations of the federal securities laws. Popular is a financial services provider with operations in Puerto Rico, the United States, the Caribbean, and Latin America. The Complaint alleges that defendants issued materially false and misleading statements, including a materially false and misleading registration statement and prospectus in connection with Popular's May 28, 2008 offering of Series B preferred shares, that misrepresented and failed to disclose that: (i) the Company's deferred tax assets relating to its U.S. operations were materially overstated; (ii) the Company was experiencing increasing loan losses in Puerto Rico and the U.S. construction sectors; (iii) the quality of the Company's remaining mortgage-related loans in its U.S. mainland portfolios and other assets were deteriorating and were materially overstated; (iv) the Company was experiencing a higher percentage of non-performing loans; (v) the Company's new loan originations were declining; and (vi) as a result of the foregoing, the Company would soon be facing liquidity concerns and would be forced to cut or eliminate paying a dividend to shareholders.
Popular, Inc. Suspend Dividends
Popular, Inc. announced that it will suspend dividends on shares of its common stock and on its Series A Preferred Stock and Series B Preferred Stock after paying the previously declared June 2009 preferred stock dividends on June 30, 2009. .
