Peapack-Gladstone prices notes; Monmouth preferreds lead dip; Signature Bank down

By James McCandless

San Antonio, Dec. 22 – Moving into Tuesday of the holiday-truncated week, the preferred space continued to see weakness.

In primary activity, Peapack-Gladstone Financial Corp. priced a $100 million offering of fixed-to-floating rate subordinated notes due 2030 with an initial coupon of 3.5%.

Leading the day’s secondary market, REIT Monmouth Real Estate Investment Corp.’s 6.125% series C cumulative redeemable preferred stock dipped.

Meanwhile, in the finance space, Signature Bank’s recent 5% series A non-cumulative perpetual preferreds were pushed down.

Sector peer Wells Fargo & Co.’s 4.7% series AA and 4.75% series Z non-cumulative perpetual preferred stocks were both on the negative side.

Retirement services name Athene Holding Ltd.’s new 4.875% series D fixed-rate perpetual non-cumulative preference shares were also lower.

Elsewhere, in communications, Qwest Corp.’s 6.5% notes due 2056 were under pressure, going along with the overall trend.

Peapack-Gladstone’s deal

In Tuesday primary activity, Peapack-Gladstone priced a $100 million offering of fixed-to-floating rate subordinated notes due 2030 with an initial coupon of 3.5%.

Piper Sandler & Co. and Keefe, Bruyette & Woods are the bookrunners.

The coupon is fixed for five years, then converts to a floating rate of the three-month SOFR plus 326 basis points.

Monmouth dips

Leading the day’s secondary market, real estate investment trust Monmouth’s 6.125% series C cumulative redeemable preferred stock dipped.

The preferreds (MNRPrC) were down 5 cents to close at $24.83 on volume of about 605,000 shares.

Signature off

Meanwhile, in the finance space, Signature Bank’s recent 5% series A non-cumulative perpetual preferreds were pushed downward.

The preferreds (Nasdaq: SBNYP) shaved off 3 cents to close at $25.17 with about 518,000 shares trading.

On Monday, the preferreds gave up 24 cents.

Sector peer Wells Fargo’s 4.7% series AA and 4.75% series Z non-cumulative perpetual preferred stocks were both on the negative side as the session came to a close.

The series AA preferreds (NYSE: WFCPrA) shaved off 22 cents to close at $26.06 on volume of about 248,000 shares.

On Monday, the preferreds grabbed 10 cents.

The series Z preferreds (NYSE: WFCPrZ) dropped 13 cents to close at $26.18 on volume of about 233,000 shares.

On Monday, the preferreds knocked off 6 cents.

Athene lower

Retirement services name Athene’s new 4.875% series D fixed-rate perpetual non-cumulative preference shares were also lower.

The preferreds, trading under the temporary symbol “ATHDF,” lost 6 cents to close at $24.96 with about 431,000 shares.

On Monday, the preferreds chalked off 6 cents.

Qwest under

Elsewhere, in communications, Qwest’s 6.5% notes due 2056 were under some pressure, going along with the overall market trend.

The notes (NYSE: CTBB) slid 21 cents to close at $25.50 on volume of about 228,000 shares.

Indexes down

The Wells Fargo Hybrid & Preferred Securities Financial index weakened by 0.42% on Tuesday.

The index was down 0.01% by Monday’s close, ended Friday down by 0.05% and gained 0.22% on Thursday.

The iShares US Preferred Stock ETF was down 12 cents to $38.06.

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