Chimera taps market; Edison International preferred shares weaken; JPMorgan declines

By James McCandless

San Antonio, Jan. 15 – Tuesday’s session in the preferred market ended with mixed results and robust trading volume.

Chimera Investment Corp. priced $185 million of $25-par series D fixed-to-floating rate cumulative redeemable preferred stock with an initial dividend of 8%.

There is a $27.75 million greenshoe.

Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, UBS Securities LLC, Wells Fargo Securities, LLC, J.P. Morgan Securities LLC and Keefe, Bruyette & Woods, Inc. are the joint bookrunners.

Leading secondary volume, Southern California Edison Co., a subsidiary of Edison International, saw its 5% cumulative trust preferreds trade lower.

The preferreds (NYSE: SCEPrL) were down 5 cents to close at $18.00 on volume of about 865,000 shares.

Elsewhere in utilities, PG&E Corp.’s 6% cumulative nonredeemable first preferred stock was also falling.

The preferreds (NYSE: PCGPrA) lost $1.38 to close at $14.32 with about 393,000 shares trading.

Meanwhile, in finance, JPMorgan Chase & Co.’s 5.75% series DD non-cumulative preferreds were also declining.

The preferreds (NYSE: JPMPrD) lost 5 cents to close at $24.93 on volume of about 632,000 shares.

Capital One Financial Corp.’s 6.2% series F non-cumulative perpetual preferred stock followed a negative trend.

The preferreds (NYSE: COFPrF) declined by 4 cents to $25.72 with about 287,000 shares trading.

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