PMI Group Sells Shares

The PMI Group Inc., Walnut Creek, Calif., has sold 5 million shares of common stock in an offering that was priced at $38.20 per share. The company raised $191 million in gross proceeds.On Nov. 3, the day PMI announced the offering closed, its common stock closed at $38.46 on the New York Stock Exchange. In addition, PMI sold 13.8 million of 5.875% equity units at a stated value of $25 per share, raising $345 million of gross proceeds. Bank of America Securities LLC acted as sole book-running manager with respect to both offerings. Co-managers were Citigroup Global Markets Inc., J.P. Morgan Securities Inc., and Lehman Brothers Inc. for both offerings and Keefe, Bruyette & Woods as a co-manager in the common stock offering. PMI said it would use the proceeds to help fund its purchase of its stake in Financial Guaranty Insurance Co. from GE Capital Corp.