Wells Fargo Convertible Bonds
Posted: 22 Sep 2008
Date Written: March 21, 2006
Abstract
SUBJECT AREAS: Banking, Capital markets, Capital structure, Convertible bonds, Financial strategy, Valuation.
Howard Atkins, the chief financial officer of Wells Fargo, is considering issuing $3 billion in convertible debt. With an investment-grade credit rating, Wells Fargo is not the typical issuer of convertible securities, but the market conditions in 2003 are unusual. Strong demand from both convertible arbitrage hedge funds and income mutual funds appears to create an opportunity for Wells Fargo to raise capital at a low cost.
Suggested Citation: Suggested Citation
Baker, Malcolm P. and Kind, Liz, Wells Fargo Convertible Bonds (March 21, 2006). HBS Case No.: 206-022, Available at SSRN: https://ssrn.com/abstract=1271984
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.