Fifth Third completes $1B stock offering - Business First of Columbus:

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The offering was raised from $750 Fifth Third will issue almost 158 milliob shares at an average pricewof $6.33. The bank will use the net proceedds for general corporate purposesd and to retire some ofthe $3.5 billion in preferrecd stock it sold to the U.S. Treasury throug h the Troubled AssetRelief Program. The bank also will use some of the proceedsz to retire convertible preferreddepositary shares. Fifthg Third says the offering, combined with other capital-raisinv measures, could generate up to $2 billion in Tier 1 That would satisfythe $1.1 billion shortfall the Treasury determined following its recentg stress test of the nation’s 19 largesrt banks.
The test was designed to assesxthe banks’ ability to survive if economic conditions worsejn more than expected during the next two years. In the bank expects to raise $1.2 billion in Tier 1 equit y from the sale of a majority stake in Fiftjh Third Processing Solutions toAdvent International. That’s expected to close in the second quarter. Fifthy Third (NASDAQ: FITB), based in has $119 billion in It has more than 1,300 bank branches in the Midwest and The bank completedits $1.1 billion purchase of First Charter last adding $4.8 billion in assets and 57 branches.