Wells Fargo announced on Monday that it will issue new bonds to finance its debt issuance, which could boost its stock value by $4 billion over the next 12 months.
Wells Fargo CEO and co-founder John Stumpf will announce the announcement at a press conference.
Wells is facing increasing pressure from lawmakers and regulators to help struggling U.S. banks.
Wells, which has a market cap of $69.6 billion, said on Monday it expects to raise $4.8 billion in new debt, which is $5 billion more than last year.
Wells will issue its new bonds in the third quarter of 2021.
Wells has long been the target of lawmakers who want to crack down on Wall Street banks and the industry that has provided trillions of dollars to the nation’s coffers over the past four decades.
But some lawmakers have suggested that Wells’ new bonds are too risky and are not a safe investment for investors.
The stock market has rallied since Wells announced its new bond offerings, with Wells rising 7% on Monday to $46.25.
Wells stock was up 4% over the previous week.
Wells also said it will be releasing its 2017 fiscal year results later this week.
The announcement comes as Wells continues to face pressure from the Securities and Exchange Commission (SEC) to disclose more information about the cost of its bonds and for the firm to reveal whether it will pay back the money that investors deposited into its savings accounts.
Wells’ stock has dropped about 40% over recent months.
On Tuesday, Wells said it plans to file for Chapter 11 bankruptcy protection next year, the first major U.K. bank to do so in nearly a decade.
That would allow Wells to take advantage of a tax break that allows U.Y. Virginian-based banks to sell off assets at lower prices than in the U.I.A. to pay for the bank’s costs.