09:51 AM EDT, 04/29/2024 (MT Newswires) -- UMB Financial ( UMBF ) said Monday it has priced an underwritten public offering of 2.8 million common shares at $75 per share for expected net proceeds of about $201.6 million.

Underwriters will have the option to purchase up to about 420,000 additional shares.

The public equity offering was part of a forward sale agreement with a BofA Securities affiliate, or the forward purchaser.

UMB said the forward sale agreement involves selling its shares to the forward purchaser at an initial forward sale price per share equal to the price per share at which the underwriters purchase the shares in the offering. The forward purchaser or its affiliate will borrow shares of UMB's common stock from third parties and sell them to the underwriters.

The company said it will not receive any proceeds from stock sold by the forward seller to the underwriters.

UMB expects to physically settle the forward sale agreement within roughly 18 months from the date of the agreement.

The net proceeds received after physical settlement, if any, will be used for general corporate purposes, UMB said.

Shares of the company were down 5.8% in recent early Monday trading.

Price: 78.34, Change: -4.84, Percent Change: -5.81