Monday, May 25, 2009
New Regions Preferred
Just received your updated book and it's great! Recent news accounts (Regions outlines details of $1B stock sale) say that Regions Financial is going to offer new preferred shares at 10% as part of their move to add capital to their balance sheet. Will this be a CD3x Preferred or is this some type of restricted offering that doesn't meet CD3x filters?
1 - Click To Post Comments:
Thanks very much for your post and kind comments about Preferred Stock Investing.
The upcoming (June 09) issue of the subscriber's newsletter - CDx3 Research Notes - will present a summary table of various stress test banks, including Regions, and how they are planning on meeting their new capital requirements.
Regions is required to raise $2.5B and is doing so by issuing both common stock and a new preferred stock (Series B).
The new Regions Series B preferred stock does not meet the ten CDx3 Selection Criteria presented in chapter 7 of Preferred Stock Investing. As such, subscribers to the CDx3 Notification Service will NOT be receiving a CDx3 Buyer's Notification email message on the new Regions Series B issue.
Watch for the complete summary in the June 2009 issue of CDx3 Research Notes.
Many Happy Returns.
Post a Comment