Bread Financial Holdings, Inc. issued and sold 5,400,000 depositary shares representing 1/40th interests in Series B Preferred Stock with 8.875% fixed rate reset non-cumulative perpetual terms, effective May 12, 2026.
Key takeaways
Filed Certificate of Designations on May 11, 2026, effective May 12, 2026, creating Series B Preferred Stock with $1,000 liquidation preference per share.
Issued 5,400,000 Depositary Shares on May 12, 2026, including 600,000 from underwriters' option under May 5 Underwriting Agreement.
Series B dividends at 8.875% fixed until First Reset Date December 15, 2031, then reset to Five-Year U.S. Treasury Rate plus 4.804%.
Restrictions on junior stock dividends/repurchases if Series B dividends not paid or set aside for prior period.
Depositary Shares issued under Deposit Agreement with Computershare Inc. and Computershare Trust Company, N.A.