Central Pacific Financial Corp. (NYSE: CPF) announced that the United States Department of the Treasury plans to offer all 5.6 million shares of the company’s common stock it currently holds in an underwritten public offering. The Company will not receive any of the proceeds from the sale of the shares by Treasury. The closing price on Tuesday was $14.13 and the 52-week trading range is $12.42 to $53.00. Before
the effects of this offering, Central Pacific has a market cap of $560 million. Underwriters for the offering include Sandler O’Neill & Partners acting as the book-running manager with C.L. King & Associates, Guzman & Company and SL Hare Capital acting as co-managers.
Magnum Hunter Resources Corp. (NYSE: MHR) filed for a mixed $400M securities shelf for any combination of Debt, Guarantees of Debt Securities, Common & Preferred Stock, Depositary Shares, and Warrants. The closing price on Tuesday was $6.42 and the 52-week trading range is $3.75 to $8.66. Before the effects of this offering, Magnum Hunter has a market cap of $799 million.
Taubman Centers Inc. (NYSE: TCO) announced the sale of a 1.75 million common shares to Goldman Sachs, the sole underwriter in a public offering, at $ 56.50 per share. The closing price on Tuesday was $56.52 and the 52-week trading range is $34.24 to 60.41. Before the effects of this offering, Taubman Centers has a market cap of $3.2 billion.
The last deal we are awaiting is from Five Star Quality Care Inc. (NYSE: FVE), which has fallen about 20% since it telegraphed that deal. So far this is the first time we have seen the shares not in the red since and more details are here on that full offering.
Secondary offerings are not all bad. Traders and investors look for secondary offerings for a myriad of reasons and some are looking for the bullish side of the trade and some are looking for the bearish side of the trade. A little bit of something for everyone…
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Jon C. Ogg and Jim Berdou
