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FNB sets price for $500 million senior notes offering

Published 12/05/2024, 06:22 AM
FNB
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PITTSBURGH - F.N.B. Corporation (NYSE: NYSE:FNB), a diversified financial services company with a market capitalization of $6 billion, announced today the pricing of its $500 million senior notes offering. The notes, due in 2030, will initially bear a fixed interest rate of 5.722% per annum, payable semi-annually until December 11, 2029. From December 11, 2029, the interest rate will switch to a floating rate, based on the Compounded SOFR plus a margin of 1.93%, payable quarterly until maturity. The company has shown strong momentum recently, with InvestingPro data showing a 28% price return over the past six months.

The offering is scheduled to close on December 11, 2024, with the first interest payment to be made on June 11, 2025. F.N.B. Corporation intends to use the proceeds for general corporate purposes, which may include supporting the growth of its banking subsidiary, investments at the holding company level, and refinancing existing debt.

Morgan Stanley (NYSE:MS) & Co. LLC, BofA Securities, Inc., and WauBank Securities LLC are acting as joint book-running managers for the offering, while Bancroft Capital, LLC, BMO Capital Markets Corp., Goldman Sachs & Co. LLC, and Piper Sandler & Co. are co-managers.

Investors are advised to read the registration statement, the prospectus supplement, and other relevant documents filed with the U.S. Securities and Exchange Commission (SEC) for more detailed information about the company and the offering. These documents are available free of charge on the SEC's website.

F.N.B. Corporation, with total assets of $48 billion, operates approximately 350 banking offices across seven states and the District of Columbia. The company's largest affiliate, First National Bank of Pennsylvania, offers a range of commercial and consumer banking services, as well as wealth management solutions. Trading at a P/E ratio of 15.1x and offering a dividend yield of 2.88%, F.N.B. has maintained dividend payments for 50 consecutive years, according to InvestingPro analysis. For deeper insights into F.N.B.'s financials and growth potential, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro.

The common stock of F.N.B. Corporation is traded on the New York Stock Exchange and is included in Standard & Poor’s MidCap 400 Index. The securities offered are not insured or approved by the Federal Deposit Insurance Corporation. This news is based on a press release statement and does not constitute an offer to sell or a solicitation of an offer to buy any securities.

In other recent news, F.N.B. Corporation reported an operating net income of $122 million and earnings per share of $0.34 for the third quarter. The company also reported a record non-interest income of $90 million. Total (EPA:TTEF) loans and deposits saw an increase of 4.6% and 5.1% respectively. Additionally, F.N.B. Corporation has appointed Kelly Trombetta as its new Chief Operational Risk Officer.

Piper Sandler and Stephens both maintained their Overweight rating on F.N.B. Corporation, despite Stephens lowering their EPS estimates for 2025 and 2026 due to elevated non-interest expenses. Both firms expressed positive outlooks for the company's future performance.

F.N.B. Corporation management has also expressed openness to mergers and acquisitions, focusing on smaller, accretive deals. These are recent developments that indicate the company's strategic growth initiatives and resilience in the face of economic challenges.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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