Preferred stocks bounce around, end higher; Public Storage, Power REIT issues list on NYSE

By Stephanie N. Rotondo

Phoenix, March 18 - Preferred stocks were inching higher Tuesday as the markets reacted positively to statements made by Russian president Vladimir Putin.

The comments assuaged fears that the country was gearing up to add more than Crimea to its borders.

The Wells Fargo Hybrid and Preferred Securities index was up 6 basis points at mid-morning, rising all the way to 14 bps better by the end of the day.

A market source said the index bounced around in "pretty big swings" throughout the day. He also commented that "volume was toward the lighter side," though at the end of the day, some sizable trades went through.

"The rest of the day was very light," he said.

A trader said the new issue pipeline remained mum. However, Public Storage Inc.'s $225 million of 6.375% series Y cumulative preferreds - a deal that came March 10 - were admitted for trading on the New York Stock Exchange on Tuesday.

The ticker symbol is "PSAPY."

A trader quoted the issue at $24.78 bid, $24.80 offered. Paper was trading at $24.78 at mid-morning, down from opening levels of $24.85. The issue closed at $24.84.

Meanwhile, Power REIT's 7.75% series A cumulative redeemable perpetual preferreds also listed on the NYSE. The ticker symbol is "PWPA."

The company has been selling the preferreds in "at-the-market" offerings and announced Tuesday that it had raised $2.5 million in its first completed sale.

Among other recent deals, Atlas Pipeline Partners LP said Tuesday that it had sold an additional $16.5 million of its 8.25% class E cumulative redeemable perpetual preferred units.

The company originally sold $110 million units on March 12.

One trader placed the units at $25 bid, though he saw no Street offers. Another market source said the issue closed at $25.05, though he noted that the volume weighted average price was $24.97.

© 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.