The U.S. Treasury Department hopes to earn $706 million for taxpayers from a previously announced sale of Hartford Financial Services Group Inc. warrants.
The Treasury Department has the warrants because of investments it made in Hartford Financial, Hartford (NYSE:HIG), through the Troubled Asset Relief Program.
The Treasury Department will be selling 52 million warrants through a secondary offering at a price of $13.70 per warrant, Hartford says in a report filed with the U.S. Securities and Exchange Commission.
The deal closing should occur on or about Sept. 27, the company says.
The offering represents the Treasury Department’s sale of its remaining investment in Hartford, the company says.
In related news, the Treasury Department today closed an underwritten secondary public offering of 13 million warrants issued by Lincoln National Corp., Radnor, Pa. (NYSE:LNC). Each warrant gives the holder the right to buy a share of Lincoln’s common stock.
The warrants have an exercise price of $10.92 per share and are set to expire July 10, 2019.
The warrants will be listed on the New York Stock Exchange under the symbol “LNC WS,” Lincoln says.
The Lincoln did not get any of the proceeds of the warrant offering, and it bought 2.9 million warrants through the auction, the company says.