Wintrust Financial Announces $425 Million Public Offering

Wintrust Financial priced a $425 million public offering of depositary shares, expected to close on May 22, 2025.

Offering Details

Wintrust Financial Corporation has priced an underwritten public offering of 17 million depositary shares, each having a liquidation preference of $25.00, totaling gross proceeds of $425 million. These depositary shares represent a 1/1,000th interest in Wintrust’s 7.875% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series F. The offering is set to close on May 22, 2025, pending customary conditions. Funds raised will be allocated for general corporate purposes, including potential redemptions of existing preferred stock, subject to Federal Reserve approval. The company plans to list the depositary shares on The Nasdaq Global Select Market under the symbol “WTFCN.” RBC Capital Markets serves as the sole book-running manager for this offering, conducted under an effective shelf registration statement with the SEC.

Advantages of the Offering

• The successful pricing indicates strong investor interest and illustrates Wintrust’s financial stability.
• This offering supports Wintrust’s strategy to potentially redeem outstanding preferred shares, which may enhance its capital structure.
• Listing on The Nasdaq Global Select Market could increase the company’s visibility, attracting a wider investor base.

Considerations and Risks

• Wintrust’s necessity to redeem outstanding preferred shares suggests potential financial strain or restructuring needs.
• The requirement for Federal Reserve approvals for redeeming preferred stock introduces uncertainty to the offering’s future execution.
• Relying on general corporate purposes for the raised funds raises concerns about the company’s financial strategy and stability.

Frequently Asked Questions

What are the gross proceeds from Wintrust’s public offering?

Wintrust has reported gross proceeds of $425 million from the offering of 17 million depositary shares.

When is the expected closing date for the offering?

The expected closing date for the offering is May 22, 2025, subject to customary conditions.

What will Wintrust use the net proceeds for?

Net proceeds will be used for general corporate purposes, including potential redemptions of Series D and E preferred stock.

Which financial institutions are involved in managing the offering?

RBC Capital Markets is the sole book-running manager, with co-managers including Keefe, Bruyette & Woods, Piper Sandler, and US Bancorp.

Where can investors find the prospectus for the offering?

Investors can find the prospectus supplement and accompanying prospectus through EDGAR on the SEC’s website or by contacting RBC Capital Markets.

Recent $WTFC Insider Trading Activity

Insiders at Wintrust Financial have conducted 15 trades of $WTFC stock in the past six months, comprised of 3 purchases and 12 sales.

• DAVID A DYKSTRA (VICE CHAIRMAN AND COO): 0 purchases, 2 sales totaling 13,693 shares for an estimated $1,725,316.
• RICHARD B MURPHY (VICE CHAIR, CHIEF LENDING OFC): 0 purchases, 2 sales totaling 10,352 shares for an estimated $1,304,182.
• DAVID L STOEHR (CHIEF FINANCIAL OFFICER): 0 purchases, 2 sales totaling 7,679 shares for an estimated $967,419.
• KATHLEEN M BOEGE (EVP, GENERAL COUNSEL AND SEC): 2,032 shares sold for an estimated $266,821.
• JEFFREY D HAHNFELD (EVP-CONTROLLER & CHIEF ACC OFF): 0 purchases, 4 sales totaling 1,837 shares for an estimated $238,382.
• DAVID ERIC LEE (EXECUTIVE VICE PRESIDENT): 1,548 shares sold for an estimated $192,106.
• EDWARD J WEHMER (FOUNDER AND SENIOR ADVISOR): 3 purchases totaling 1,929 shares for an estimated $48,552.

Recent $WTFC Hedge Fund Activity

In the last quarter, 212 institutional investors increased their positions in $WTFC stock, while 205 reduced their holdings.

• EARNEST PARTNERS LLC added 1,313,186 shares (+inf%) for an estimated $163,767,426.
• SEI INVESTMENTS CO added 505,293 shares (+261.4%) for an estimated $63,015,090.
• ALYESKA INVESTMENT GROUP, L.P. added 414,991 shares (+inf%) for an estimated $51,753,527.
• CITADEL ADVISORS LLC removed 361,300 shares (-99.1%) for an estimated $45,057,723.
• FIRST TRUST ADVISORS LP added 337,763 shares (+36.5%) for an estimated $42,122,423.
• BANK OF AMERICA CORP /DE/ added 320,954 shares (+55.6%) for an estimated $40,026,173.
• DIMENSIONAL FUND ADVISORS LP removed 298,766 shares (-9.1%) for an estimated $37,259,107.

$WTFC Analyst Ratings

Recent reports from Wall Street analysts indicate that 3 firms issued buy ratings on $WTFC, with no firms issuing sell ratings.

• Raymond James issued a “Strong Buy” rating on 04/23/2025.
• Barclays issued an “Overweight” rating on 01/23/2025.
• RBC Capital issued an “Outperform” rating on 01/08/2025.

$WTFC Price Targets

Two analysts have recently established price targets for $WTFC, with a median target set at $142.0.

• David Long from Raymond James set a target price of $143.0 on 04/23/2025.
• Nathan Race from Piper Sandler set a target price…