Financial Winners and Losers: BofA

(Updated with final closing prices)

Financial stocks ended Tuesday's session mixed, with Bank of America (BAC Quote) among the winners after the bank announced the pricing of its common stock offering.

In a statement Monday, BofA announced the common stock average price of $12.7048, part of the bank's process to exchange outstanding depository shares of preferred stock for up to 200 million common shares.

The debt conversion is part of the bank's broader plan to strengthen its capital base after the government said last month it needed an extra $33.9 billion cash cushion. The bank said the exchange offer would boost its capital position. BofA shares rose 2.4% to $12.23.

Other bank stocks finished higher as well. Wells Fargo (WFC Quote) shares gained 1.8% and JPMorgan Chase (JPM Quote) added 2.1%. Citigroup (C Quote) finished fractionally higher.

Meanwhile, UBS (UBS Quote) shares jumped nearly 6% after a report the Justice Department may drop a legal case aimed at forcing the Swiss bank to divulge the names of 52,000 wealthy American clients suspected of offshore tax evasion.

The New York Times reported Monday that the move, which would halt an unusually aggressive effort to force Switzerland to lift its veil of banking secrecy, could happen by mid-July. UBS shares closed up 5.9% at $13.26.

In other financial news, at least three small, cash-strapped banks have stopped paying the U.S. government dividends that they owe because they got $315.4 million in capital infusions under the Troubled Asset Relief Program, or TARP, according to a report in The Wall Street Journal.