Farmer Mac, a vital institution in the American agricultural credit system, announced today the successful pricing of $100 million of its Series H Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock. This offering represents a significant step in the company’s ongoing efforts to strengthen its capital position and ensure its continued ability to serve the nation’s farmers and ranchers.
The issuance, detailed in a press release from PR Newswire on August 20, 2025, at 8:30 PM Eastern Time, highlights Farmer Mac’s proactive approach to managing its financial resources. The Series H Preferred Stock is a crucial component of the company’s capital structure, designed to provide long-term stability and support its mission of providing a reliable secondary market for agricultural loans.
This new series of preferred stock is structured with an initial fixed dividend rate, which will then transition to a floating rate. This structure offers a degree of flexibility and responsiveness to prevailing market conditions. The perpetual nature of the stock signifies its long-term commitment to Farmer Mac’s capital base, without a maturity date.
The funds raised from this offering are expected to be utilized for general corporate purposes, which may include supporting Farmer Mac’s growth initiatives, enhancing its regulatory capital, and continuing its vital role in the agricultural finance sector. By securing this additional capital, Farmer Mac is reinforcing its capacity to offer dependable and affordable financing solutions to agricultural producers across the United States, helping them to invest in their operations, weather economic challenges, and contribute to the nation’s food security.
Farmer Mac’s commitment to the agricultural community remains paramount. This successful pricing of preferred stock underscores the confidence that investors have in Farmer Mac’s business model, its management team, and its critical mission. The company continues to play an indispensable role in ensuring the vitality and sustainability of American agriculture, providing essential liquidity and support to a sector that is fundamental to the nation’s economy and well-being.
Farmer Mac Prices $100 Million of Series H Preferred Stock
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