Hersha Hospitality sells upsized preferreds; AXIS gets temporary ticker; Navios rises

By Stephanie N. Rotondo

Seattle, Nov. 1 – The preferred stock primary market continued to churn out deals on Tuesday, as the first trading day of November got underway.

Hersha Hospitality Trust said it was selling $75 million of series E cumulative redeemable preferred stock, with price talk at 6.5% to 6.625%.

The deal came upsized at $100 million, priced at par to yield 6.5%.

Morgan Stanley & Co. LLC, BofA Merrill Lynch, Wells Fargo Securities LLC and Citigroup Global Markets Inc. ran the books.

At the close, a market source pegged the issue at $24.82 bid, $24.92 offered.

Meanwhile, AXIS Capital Holdings Ltd.’s $550 million of 5.5% series E noncumulative preferreds – a deal priced Monday – were quoted at $24.88 bid, $24.90 offered early in the day. However, the issue was seen closing at $24.80. A source said that level “seemed to be low,” suggesting that the volume weighted average price of $24.8757 was more accurate.

The paper was also assigned a temporary trading symbol, according to a trader. The symbol is “AXHHF.”

BofA Merrill Lynch, Morgan Stanley, Wells Fargo and UBS Securities LLC led that deal.

Away from new issues, Navios Maritime Holdings Inc.’s preferreds were bouncing up after the company announced it had extended an exchange offer for the securities to 11:59 p.m. ET on Nov. 7.

The Monaco-based shipping company also said it is waiving a minimum tender condition.

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