Farmer Mac Prices $100 Million of Series I Preferred Stock
Rhea-AI Summary
Farmer Mac (NYSE: AGM) priced a $100 million public offering of 6.875% non-cumulative perpetual Series I preferred stock, par value $25 per share, qualifying as Tier 1 capital. The deal is expected to close on May 19, 2026, with planned NYSE listing under symbol AGM PRI.
Dividends will be non-cumulative at a fixed 6.875% rate annually, if and when declared. The preferred has no maturity, and Farmer Mac may redeem it on any dividend payment date on or after July 17, 2031. Net proceeds are intended for general corporate purposes.
Positive
- Raises $100 million of Tier 1 capital via preferred stock
- Fixed 6.875% annual dividend rate on Series I preferred
- Expected NYSE listing of new preferred under symbol AGM PRI
- Redemption flexibility starting July 17, 2031 on dividend dates
- Net proceeds designated for general corporate purposes
Negative
- None.
News Market Reaction – AGM
In the May 13 session, AGM declined 3.99%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
The dividend rate on the new Series I preferred stock will remain at a non-cumulative, fixed rate of
The offering is being made pursuant to an exemption from registration under the Securities Act of 1933, as amended, and is being made solely by means of an offering circular. You may obtain a copy of the offering circular by contacting Morgan Stanley & Co. LLC, 180 Varick Street,
Forward-Looking Statements
In addition to historical information, this release includes forward-looking statements that reflect management's current expectations for the preferred stock offering, Farmer Mac's intended use of the proceeds from the offering and the closing date of the offering. You should pay particular attention to the important risk factors and cautionary statements described tin the "Risk Factors" section of the offering circular that relates to the offering referenced above, as well as the risk factors discussed in Farmer Mac's Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on February 19, 2026, and Farmer Mac's Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, as filed with the SEC on May 5, 2026. In light of these potential risks and uncertainties, no undue reliance should be placed on any forward-looking statements expressed in this release. The forward-looking statements contained in this release represent management's expectations as of the date of this release. Farmer Mac undertakes no obligation to release publicly the results of revisions to any forward-looking statements included in the release to reflect new information or any future events or circumstances, except as the SEC otherwise requires.
About Farmer Mac
Farmer Mac is driven by its mission to increase the accessibility of financing to provide vital liquidity for American agriculture and rural infrastructure. Our secondary market provides liquidity to our nation's agricultural and infrastructure businesses, supporting a vibrant and strong rural America. We offer a wide range of solutions to help meet financial institutions' growth, liquidity, risk management, and capital relief needs across diverse markets, including agriculture, agribusiness, broadband infrastructure, power and utilities, and renewable energy. We are uniquely positioned to facilitate competitive access to financing that fuels growth, innovation, and prosperity in America's rural and agricultural communities. Additional information about Farmer Mac is available on our website at www.farmermac.com.
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SOURCE Farmer Mac