PURCHASE, N.Y.--(BUSINESS WIRE)--
MBIA Inc. (NYSE: MBI) (the “Company”) today announced the sale of an
aggregate of 27,250,000 shares of the Company’s common stock by
investment funds affiliated with Warburg Pincus LLC (“Warburg Pincus”)
in a registered public offering. Warburg Pincus will receive all of the
net proceeds from this offering. No shares are being sold by the Company
or by any members of the management team.
BTIG, LLC is acting as sole underwriter for the offering. BTIG, LLC
proposes to offer the shares of common stock from time to time for sale
in one or more transactions on the New York Stock Exchange, in the
over-the-counter market, through negotiated transactions or otherwise at
market prices prevailing at the time of sale, at prices related to
prevailing market prices or at negotiated prices, subject to receipt and
acceptance by it and subject to its right to reject any order in whole
or in part.
Subject to the completion of this offering, the Company's subsidiary,
National Public Finance Guarantee Corporation, will repurchase from BTIG
8,000,000 shares of its common stock that are the subject of this
offering at a price per share equal to the price at which the
underwriter will purchase such shares from Warburg Pincus in this
offering.
After completion of the offering, Warburg Pincus will hold 18,372,877
shares of the Company’s common stock and will continue to have two
nominees on the Company’s board of directors.
The Company’s effective registration statement, including a prospectus,
relating to the offering was previously filed with the U.S. Securities
and Exchange Commission (“SEC”). Investors should read the prospectus in
that registration statement and other documents the Company has filed
with the SEC for more complete information about the Company and this
offering before investing. These documents are available for free by
searching for the Company’s public filings on the SEC’s website at www.sec.gov,
or by visiting the Company’s investor relations website at
investor.mbia.com. Alternatively, copies of the prospectus and
prospectus supplement, when available, may be obtained from BTIG, LLC,
825 3rd Ave, 6th FL, New York, NY 10022, email: USSyndicate@btig.com.
This press 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 or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or
jurisdiction.
About MBIA
MBIA Inc., headquartered in Purchase, New York, is a holding company
whose subsidiaries provide financial guarantee insurance for the public
and structured finance markets.
Forward-Looking Statements
The information contained in this press release should be read in
conjunction with our filings made with the Securities and Exchange
Commission. This release includes statements that are not historical or
current facts and are “forward-looking statements” made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. The words “believe,” “anticipate,” “project,” “plan,” “expect,”
“intend,” “will likely result,” “looking forward” or “will continue,”
and similar expressions identify forward-looking statements. These
statements are subject to certain risks and uncertainties that could
cause actual results to differ materially from historical earnings and
those presently anticipated or projected, including, among other risks
and uncertainties, the possibility that the Company will experience
increased credit losses or impairments on public finance obligations we
insure issued by state, local and territorial governments and finance
authorities that are experiencing fiscal stress, the possibility that
MBIA Corp. will have inadequate liquidity to pay expected claims as a
result of increased losses on certain structured finance transactions,
in particular residential mortgage-backed securities transactions that
include a substantial number of ineligible mortgage loans, or a delay or
failure in collecting expected recoveries, the possibility that loss
reserve estimates are not adequate to cover potential claims, a
disruption in the cash flow from our subsidiaries or an inability to
access capital and our exposure to significant fluctuations in liquidity
and asset values within the global credit markets as a result of
collateral posting requirements, our ability to fully implement our
strategic plan, including our ability to maintain high stable ratings
for National and generate investor demand for our financial guarantees,
deterioration in the economic environment and financial markets in the
United States or abroad, and adverse developments in European sovereign
credit performance, real estate market performance, credit spreads,
interest rates and foreign currency levels, the effects of governmental
regulation, including insurance laws, securities laws, tax laws, legal
precedents and accounting rules; and uncertainties that have not been
identified at this time. These and other factors that could affect
financial performance or could cause actual results to differ materially
from estimates contained in or underlying the Company’s forward-looking
statements are discussed under the “Risk Factors” section in MBIA Inc.’s
most recent Annual Report on Form 10-K and Quarterly Report on Form
10-Q, which may be updated or amended in the Company’s subsequent
filings with the Securities and Exchange Commission. The Company
cautions readers not to place undue reliance on any such forward-looking
statements, which speak only to their respective dates. The Company
undertakes no obligation to publicly correct or update any
forward-looking statement if it later becomes aware that such result is
not likely to be achieved.
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MBIA Inc.
Investors:
Greg Diamond, 914-765-3190
or
Media:
Kevin
Brown, 914-765-3648
Source: MBIA Inc.