Associated Banc-Corp dips after $300 mln stock offering

Associated Banc-Corp

15/11/2024 16:18

** Shares of regional lender Associated Banc-Corp  ASB.N 
fall as much as 2.5%, last down 1.8% at $26.20 after overnight
follow-on public offering priced
    ** ASB on Thursday sold 12 mln shares at $25 offer price for
gross proceeds of $300 mln
    ** Offering boosted from 11.5 mln shares, priced at 6.3%
discount to stock's last close
    ** ASB plans to use the proceeds for general corporate
purposes, including investments in the bank and potential
balance sheet repositioning
    ** Raymond James views the stock offering favorably with
improved capital levels supportive of a more bullish growth
outlook
    ** Brokerage notes that bank was able to issue shares at a
better price given recent market rally
    ** ASB joins a clutch of regional lenders tapping the
capital markets to raise equity after a Trump-fueled rally in
bank stocks
    ** BofA Securities and J.P. Morgan were the joint
book-running managers for the offering
    ** As of last close, ASB shares up 24.7% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))