Printer Friendly

SEARS FILES OFFERING WITH SEC

 SEARS FILES OFFERING WITH SEC
 CHICAGO, Feb. 4 /PRNewswire/ -- Sears, Roebuck and Co. (NYSE: S)


announced today that it filed a registration statement with the Securities and Exchange Commission (SEC) for a preferred stock offering in the form of 25 million depositary shares, each representing one-fourth of a share of mandatorily exchangeable preferred shares, also known as PERCS. PERCS is a trademark of Morgan Stanley & Co. Incorporated.
 Sears estimates that, based on yesterday's closing market price of its common stock, the aggregate amount raised in the offering will be approximately $1.0 billion.
 Sears PERCS will automatically be exchanged for common stock in 1995, and will be exchangeable for common stock at Sears election or in specific circumstances prior to that time. The PERCS structure limits the investor's equity appreciation, but provides a dividend yield higher than on the issuer's common shares.
 Edward M. Liddy, Sears senior vice president and chief financial officer, said, "We are pursuing this financing option to reduce our debt and further strengthen our balance sheet. The capital markets are currently very attractive."
 Sears said Goldman Sachs & Co. will serve as lead manager and Morgan Stanley & Co. Incorporated and Dean Witter Reynolds Inc. will serve as co-managers for a syndicate of underwriters in connection with the offering. The underwriters will be granted an option to purchase up to 3.75 million additional depositary shares to cover over-allotments.
 A registration statement for these securities has been filed with the SEC, but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
 A copy of the prospectus, when available, may be obtained from Goldman Sachs & Co., Prospectus Department, 85 Broad Street, New York, N.Y. 10004; Morgan Stanley & Co. Incorporated, 1251 Avenue of the Americas, New York, N.Y. 10020; or Dean Witter Reynolds Inc., Two World Trade Center, New York, N.Y. 10048.
 -0- 2/4/92
 /CONTACT: Gerald E. Buldak of Sears, 312-875-8371/
 (S) CO: Sears, Roebuck & Co. ST: Illinois IN: REA SU: OFR SM -- NY030 -- 6583 02/04/92 10:12 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Feb 4, 1992
Words:406
Previous Article:NEW NAME REFLECTS WORLDWIDE BUSINESS STRATEGY FOR PARAMAX SYSTEMS CORPORATION, A UNISYS SUBSIDIARY
Next Article:NRC STAFF PROPOSES $125,000 FINE AGAINST DUKE POWER FOR ALLEGED VIOLATION OF NRC REQUIREMENTS AT OCONEE
Topics:


Related Articles
DCR Analysis of Sears, Roebuck and Co. Announcement
Sears Signs Multi-Million Dollar Contract With Lanier;.
Sears and Kmart Shareholders Approve Merger.
Kmart, Sears: Hart-Scott-Rodino Clearance.
Sears Roebuck Acceptance Corp. Announces Filing to Delist and Deregister Debt Securities and Intention to Commence Tender Offers for 7% Notes Due...
Kmart and Sears Set Shareholder Vote for March 24, 2005.
Kmart Files Amended Form 10-K.
Sears Files Amended Form 10-K and Form 10-Q's and Form 8-K Regarding Financial Statement Matters.
Kmart, Sears: Hart-Scott-Rodino Update.
Restoration Hardware Says if Sears Signs Same Confidentiality/Standstill Agreement as Others It Will Provide Confidential Information.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters