| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers Review > Headlines for 2014 > News item |
Midday Commentary: Goldman, Morgan Stanley deals admitted to NYSE; Safe Bulkers frees to trade
By Stephanie N. Rotondo
Phoenix, May 1 - Preferred stocks were slightly softer as the new month began.
The Wells Fargo Hybrid and Preferred Securities index was off 2 basis points as of mid-morning.
"We had a lot of listings," a trader said, as the Goldman Sachs Group Inc.'s $700 million of 6.375% series K fixed-to-floating rate noncumulative perpetual preferreds hit the New York Stock Exchange. Morgan Stanley's $500 million of 6.625% series G noncumulative perpetual preferred stock also listed, he said.
Goldman came April 21, and Morgan Stanley priced the next day. The ticker symbols are "GSPK" and "MSPG," respectively.
The Goldman preferreds were trading at $25.44 versus an opening level of $25.39. Morgan Stanley was at $24.99, which compared to an opening level of $25.05.
Meanwhile, Safe Bulkers Inc.'s $50 million of 8% series C cumulative redeemable perpetual preferred stock - a deal that came Wednesday - freed to trade early in the session, according to a trader.
He saw the issue at $24.95 bid.
The trader noted that the company's 8% series B cumulative redeemable preferreds (NYSE: SFPB) were "trading at a good premium." And while the coupon was the same, the Bs have a feature that the new issue does not: a dividend step-up if the company fails to redeem the issue by 2018.
"So that should be trading on a yield-to-call basis because it will be taken out, certainly by 2018," he said.
The issue was trading off 11 cents to $26.04.
American Homes 4 Rent's $185 million of 5.5% series C participating preferred shares also freed up, the trader noted.
He quoted that issue at $24.40 bid, $24.45 offered.
The deal priced late Tuesday.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.