NU Online News Service, Sept. 22, 3:00 p.m. EDT
The U.S. Department of the Treasury said it has priced its secondary public offering, of more than 52 million warrants to purchase common stock of The Hartford Financial Services Group Inc., at $13.70 per warrant.
The offering is expected to net more than $706 million, Treasury said, adding that proceeds from the sale will be returned to American taxpayers, in addition to dividends The Hartford has already paid.
The closing is expected to occur on or about Sept. 27. The department said the sale represents its remaining interest in the company.
On Monday, the Treasury Department said it would sell the warrants in a bidding process for not less than $10.50 per share.
The Hartford borrowed $3.4 billion from the Treasury last year under the Troubled Asset Relief Program.
In March, the company said it would raise the money to pay back the government with an offering of $1.45 billion of common stock, $500 of mandatory convertible preferred stock and $425 million in cash, for a total of $2.4 billion.
The 52 million warrants were given to Treasury to secure the TARP money. The Hartford also said in March that it had no intention of buying back the warrants from the Treasury.
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