Invesco Mortgage planning new cumulative issue; Bank of America deal gets temporary symbol

By Stephanie N. Rotondo

Phoenix, Sept. 4 – The primary preferred stock market received another new deal for the week on Thursday.

Invesco Mortgage Capital Inc. said it was selling at least $75 million of series B fixed-to-floating rate cumulative redeemable preferreds.

Price talk is around 7.75%, a trader said.

“I imagine they are going to stick with that coupon with the bond market being off,” he said.

“It’s a small deal,” the trader said, seeing paper with a less 40 bid in the early gray market.

Morgan Stanley & Co. LLC, BofA Merrill Lynch and UBS Securities LLC are the joint bookrunners.

The deal had not priced by the end of the day.

As for the company’s existing preferreds, the 7.75% series A cumulative redeemable preferreds (NYSE: IVRPA) fell 35 cents, or 1.39%, to $24.80.

At mid-morning, the shares were trading off 13 cents to $25.02.

“That’s not bad; that’s about right,” a trader said at that time.

In recently priced deals, Bank of America Corp.’s $1 billion of 6.625% series W noncumulative preferreds – a deal that came Tuesday and freed up on Wednesday – were assigned a temporary reporting symbol.

The symbol is “BMMPP.” At Thursday’s close, the preferreds were at $24.90, up from opening levels of $24.88.

Volume in the issue was over 3.06 million shares.

© 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.