NEW YORK, June 25, 2014 (GLOBE NEWSWIRE) -- AmTrust Financial Services, Inc. (Nasdaq:AFSI) (the "Company" or "AmTrust") today announced that it has priced an underwritten public offering of 4,000,000 of its depositary shares (the "Depositary Shares"), each representing a 1/40 th interest in a share of its 7.25% Non-Cumulative Preferred Stock, Series B (the "Preferred Stock"), with a liquidation preference of $1,000.00 per share (equivalent to $25.00 per Depositary Share), or $100 million in aggregate liquidation preference. The offering price per Depositary Share is $25.00, for aggregate gross proceeds of $100,000,000. The Company has also granted the underwriters a 30-day option to purchase an additional 600,000 of Depositary Shares on the same terms and conditions. Each Depositary Share entitles the holder to a proportional fractional interest in all rights and preferences of the Preferred Stock represented thereby (including any dividend, liquidation, redemption and voting rights). The Company expects the offering to close on July 1, 2014, subject to customary closing conditions. Dividends on the Preferred Stock represented by the Depositary Shares will be payable on the liquidation preference amount, on a non-cumulative basis, when, as and if declared by the board of directors of the Company, at a rate of 7.25% per annum, quarterly in arrears, on March 15, June 15, September 15 and December 15 of each year, beginning on September 15, 2014, from and including the date of original issuance. The Preferred Stock represented by the Depositary Shares is not redeemable prior to July 1, 2019. After that date, the Company may redeem at its option, in whole or in part, the Preferred Stock represented by the Depositary Shares at a redemption price of $1,000.00 per share (equivalent to $25.00 per Depositary Share) plus any declared and unpaid dividends for prior dividend periods and accrued but unpaid dividends (whether or not declared) for the then current dividend period. The Company intends to apply to list the Depositary Shares for trading on the New York Stock Exchange. The Company expects to use the net proceeds from the offering for general corporate purposes.
AmTrust Announces Pricing Of $100 Million In Depositary Shares Representing Interests In Preferred Stock
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