Americas awards: equity

Author: | Published: 25 Mar 2010

WINNER: Bank of America’s ATM offering
This $13 billion at-the-market offering is the largest that has ever been completed. More importantly, it represented the first time that a financial institution has used the mechanism to innovatively raise funds quickly without diluting stock significantly or subjecting its stock to short selling.

As a result of the US government’s stress tests for financial institution, Bank of America needed to raise capital. Instead of taking the expensive and riskier option of a traditional underwritten public offering, it worked with the legal teams adapt a popular technique for Real Estate Investment Trusts for its own means. In doing so, the bank added another tool that can be used successfully by other financial institutions in the future.

McGuire Woods was issuer’s counsel and Morrison & Foerster represented the underwriters (Bank of America Corporation, Banc of America Securities and Merrill Lynch Pierce Fenner...