Bread Financial Holdings $130.7 million preferred stock offering

Davis Polk advised Bread Financial Holdings, Inc. in the SEC-registered offering of 5,400,000 depositary shares, which included 600,000 depositary shares pursuant to the partial exercise of the underwriters’ over-allotment option to purchase additional depositary shares, each representing a 1/40th interest in a share of its 8.875% fixed rate reset non-cumulative perpetual preferred stock, Series B, par value $0.01 per share, with a liquidation preference of $25 per depositary share (equivalent to $1,000 per share of Series B preferred stock). The net proceeds totaled approximately $130.7 million. The depositary shares will trade on the New York Stock Exchange under the symbol “BFH PrB.”

Bread Financial is a tech-forward financial services company that provides simple, personalized payment, lending and saving solutions to millions of U.S. consumers. Its payment solutions deliver growth for some of the most recognized brands in travel and entertainment, specialty apparel, health and beauty, jewelry, sporting goods, technology and electronics, as well as home and furniture through its co-brand and private label credit cards and pay-over-time products providing choice and value to its shared customers. Additionally, the company offers Bread Financial general purpose credit cards and saving products that empower its customers and their passions for a better life.

The Davis Polk corporate team included partner John B. Meade, counsel Meaghan Kennedy and associates Xi (Brooke) Zheng and Walker Halstad. The financial institutions team included partner Eric McLaughlin and counsel Dana Seesel Bayersdorfer. Partner Lucy W. Farr, counsel Ziyuan (Constance) Zhang and associate Omar Hersi provided tax advice. All members of the Davis Polk team are based in the New York office.