Farmer Mac Announces $100 Million Series H Offering of Preferred Stock
The Federal Agricultural Mortgage Corporation (Farmer Mac), a government-sponsored enterprise, has announced a significant move to bolster its Tier 1 capital. The corporation has agreed to issue $100 million of 6.500% non-cumulative perpetual Series H preferred stock.
The offering, which is still ongoing, is scheduled to close on August 25, 2025. The new preferred shares will trade on the New York Stock Exchange under the ticker "AGM PRH".
The preferred shares come with a fixed dividend rate of 6.500% annually and have a $25 par value. Farmer Mac may redeem the preferred shares on any dividend payment date starting October 17, 2030.
This announcement was made in a press release, and further details about the offering can be found in the said press release. The offering is aimed at strengthening Farmer Mac's capital base, providing a steady source of income for the corporation.
In addition to the preferred stock offering, Farmer Mac has also announced an expansion of its share repurchase programme, with a commitment of $50 million.
The Q2 2025 earnings season has seen Farmer Mac report a record business volume of $30.6 billion. The corporation's Non-GAAP Earnings Per Share (EPS) for Q2 2025 stands at $4.32, which is $0.03 higher than the expected figure.
Farmer Mac held a Q2 2025 Earnings Call Presentation and a transcript of the event is available for those who missed it. The corporation is highlighting its preferred stocks as a key part of its growth strategy.
The offering of preferred stocks is not the only development for Farmer Mac. The corporation continues to play a crucial role in the agricultural sector, providing financing solutions for rural infrastructure, housing, and agriculture-related businesses.
As the agricultural industry continues to evolve, Farmer Mac remains committed to its mission of supporting rural communities and American agriculture. The preferred stock offering and the record business volume in Q2 2025 are testament to this commitment and the corporation's ongoing success.
