Chillin' out till it needs to be funded
In one of the largest common stock offerings this year, Wells Fargo sold a greater-than-expected $11 billion of stock on Thursday evening to help fund its purchase ofWachovia.
The bank’s 407.5 million-share offering was priced at $27 a share, 6.2 percent below Wells Fargo’s closing price of $28.77 on Thursday. In after-hours trading, Wells Fargo’s shares fell 87 cents, to $27.90, Reuters reports.
Wells Fargo said in a statement that it might sell another 61 million shares to meet demand, increasing the offering to about $12.65 billion. The San Francisco-based bank said Wednesday that it planned to sell at least $10 billion in stock.