Citizens Financial Group to Sell Fixed to Floating Preferred

Large regional banker Citizens Financial Group (NYSE:CFG) will be offering a fix-to-floating rate preferred issue. The issue will be non-cumulative.

CFG is a large regional with over $160 billion in assets and is headquartered in Rhode Island.

The company has no other preferred stock issues outstanding at this point in time.

Preliminary paperwork for the new issue can be found here.

Further details will be announced as they are known.

13 thoughts on “Citizens Financial Group to Sell Fixed to Floating Preferred”

  1. Tim – I think it would be more accurate to indicate that the company has no other exchange traded preferred outstanding. They do have 3 outstanding non-listed issues totaling $850 million. You’ll have company.

    1. correction to my comment, their preferred stock has been rated BB+

      Citizens Financial Group, Inc.
      S&P Moody’s Fitch Ratings
      Long-term issuer BBB+ – BBB+
      Short-term issuer A-2 – F2
      Subordinated debt BBB – BBB
      Preferred stock BB+ – BB-

      1. Thanks SteveA–would seem to imply 6.5%, but surprisingly these regional f-t-f issues seem to trade pretty strong.

      2. Interesting that S&P and Fitch are together except for the preferred. 2 notches is actually quite a difference.

        That said, I’ll wait for the Egan-Jones rating to determine interest.

        1. Too funny, Bob… Some may take you literally on this, lol. In a couple years some of these F/F that start approaching float date may become compelling values if rates are low. One can get a depreciated stock well below par and then gain all the rewards done the road on even modest rate upticks. That is why I bought the Enbridge reset preferreds at 28% and 52% below par off their dismal 2017 yield reset.

          1. Hello Gridbird (and Tim)
            Please forgive this comment is not related to the discussion. The website blocks me with a requirement to allow cookies advertising, and access to information stored on my computer. Has this happened to you, also? If not, would you please tell SI management about it?
            Thank you
            Jeff (Eng)

        2. Egan Jones is a joke and could rate this IPO Preferred AAA compared to the other junk they have rated A and A-. Time flies over us but leaves it’s shadow behind, Nomad

          1. I just keep an eye out for issues coming to market with Ladenburg Thalmann and Egan-Jones behind them. Real sign of quality.

            (That’s a joke, folks).

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