Waterbury’s Webster Financial Corp., the holding company for Webster Bank, has priced its previously announced underwritten public offering of 6.63 million shares of its common stock at a price to the public of $18 per share.

Webster intends to use the proceeds to redeem the remaining $200 million of the Capital Purchase Program preferred shares held by the Treasury, according to a statement.

The offering is expected to close on or about Dec. 27, subject to customary closing conditions. All of the shares in the offering are being offered by Webster.

In conjunction with the public offering, Warburg Pincus and one of its affiliates, each an existing stockholder, have agreed to purchase more than 2 million shares of Webster’s common stock at the price to the public, less applicable underwriting discounts and commissions. Together, with the shares issued in the public offering, the total number of shares sold is expected to be about 8.7 million.

"With this common stock offering, we are not only exiting Capital Purchase Program but also are bolstering our already strong tangible common equity ratio. This transaction further positions Webster to finance our regional economic recovery," said James C. Smith, chairman, president and chief executive officer of Webster.

Barclays Capital is acting as book-running manager for the common stock offering.