Huntington Announces Conversion of Preferred Stock
COLUMBUS, Ohio — Huntington Bancshares Inc., holding company of Huntington Bank, is converting all of its outstanding 8.50% Series A preferred stock (Nasdaq: HBANP) into Huntington Bancshares common stock (Nasdaq: HBAN) in accordance with the terms of the Series A preferred stock.
On Feb. 20 the closing sale price of the common stock was $15.90, which marked the 20th trading day in the past 30 consecutive trading days that the common stock closed above $15.54 (which is equal to 130% of the applicable conversion price for the Series A preferred stock), triggering the right of Huntington Bancshares to elect to convert all shares of Series A preferred stock into shares of common stock.
The conversion will be effective today.
Each share of Series A preferred stock will be converted into 83.6680 shares of common stock. Cash will be paid in lieu of fractional shares of common stock. No action by holders of the Series A preferred stock is required.
There are 362,253 shares of Series A preferred stock outstanding, all of which will be converted.
All rights with respect to the Series A preferred stock will cease and terminate, except the right to receive the number of whole shares of common stock issuable upon conversion of the stock and any required cash-in-lieu of fractional shares. The Series A preferred stock will be delisted from trading on Nasdaq.
The holders of the preferred stock will not be entitled to receive any dividends on their converted shares of the stock, including the previously declared dividend that would have been payable on April 16 to holders of record as of April 1.
The former holders of the preferred stock will be entitled to receive the previously declared cash dividend on the common stock of $0.11 per share payable on April 2 with respect to the shares of common stock received in the conversion, provided that they are shareholders of record at the close of business on March 19.
SOURCE: Huntington Bancshares Inc.
Copyright 2018 The Business Journal, Youngstown, Ohio.
Published by The Business Journal, Youngstown, Ohio.
CLICK HERE to subscribe to our print edition and sign up to our free daily headlines.