(Reuters) - Two bank holding companies on Monday set price ranges for initial public offerings, in a sign that IPO activity is picking up in the financial sector after a slow year so far.
In the larger of the two planned IPOs, Capital Bank Financial Corp, a holding company started by former Bank of America Corp (BAC.N) executives in the aftermath of the financial crisis, said it plans to sell 11.4 million shares at between $21 and $23 each.
National Bank Holdings Corp, led by a former Bank of America Corp and Regions Financial Corp (RF.N) executive, said it plans to sell 7.2 million shares at $20 to $22 apiece.
Two bank holding companies set IPO price ranges talinec holdings ltd
1. (Reuters) - Two bank holding companies on Monday set price
ranges for initial public offerings, in a sign that IPO activity is
picking up in the financial sector after a slow year so far.
In the larger of the two planned IPOs, Capital Bank Financial
Corp, a holding company started by former Bank of America
Corp (BAC.N) executives in the aftermath of the financial
crisis, said it plans to sell 11.4 million shares at between $21
and $23 each.
2. National Bank Holdings Corp, led by a former Bank of
America Corp and Regions Financial Corp (RF.N)
executive, said it plans to sell 7.2 million shares at $20 to $22
apiece.
Including additional shares that could be sold to
underwriters, Capital Bank Financial could raise more than
$300 million, while National Bank Holdings could bring in
more than $180 million, according to their filings.
So far this year, there have been fewer financial IPOs than in
2011, according to market intelligence firm Ipreo, with 16 deals
raising $4.2 billion on U.S. exchanges. At this time last year, 19
financial IPOs had raised $5.2 billion.
Financial IPOs have slightly underperformed the broader
market, with these newly public companies in the sector up
17.8 percent since January, compared to 20.9 percent across all
industries.
3. National Bank Holdings is on the IPO calendar for next Thursday
along with another financial sector firm -- Spirit Realty Capital, a
commercial real estate investing firm. A date hasn't been set for Capital
Bank Financial.
Capital Bank Financial and National Bank Holdings were among
several entities to raise funds after the financial crisis of 2008, as
investors bet they could buy banks on the cheap, and take them public
or sell them later at a profit.
Capital Bank Financial, formerly known as North American Financial
Holdings, is led by former Bank of America executives Gene Taylor
and Chris Marshall, who raised $900 million from investors in 2009 to
buy troubled banks.
Before renaming itself, North American bought or invested in six
banks, including Raleigh, North Carolina-based Capital Bank
(CBKN.O). As Capital Bank it agreed to buy Southern Community
Financial (SCMF.O).
4. Capital Bank Financial is offering 5.68 million shares and some of its
stockholders are also offering the same amount, the bank said. It has
applied to list on the Nasdaq Global Select Market under the ticker
symbol "CBF".
After its Southern Community Financial acquisition, Capital Bank
Financial will have about $7.7 billion in assets and 165 branches in
Tennessee, Florida, North Carolina, South Carolina and Virginia.
National Bank Holdings, which is led by Chief Executive Timothy
Laney, raised about $974 million in 2009. It has made four
acquisitions and had about $5.8 billion in assets as of June 30. It has
101 branches, mostly in the greater Kansas City region and
Colorado.
The bank has applied to list its shares on the New York Stock
Exchange under the ticker symbol "NBHC".