Public Storage, Pinnacle price; Athene jumps higher; Truist preferreds better

By James McCandless

San Antonio, June 8 – Closing out the Monday session, the preferred space finished with gains across the board.

In primary activity, Public Storage priced a $500 million offering of $25-par series L cumulative preferred shares with a dividend of 4.625% at par.

Also, Pinnacle Financial Partners, Inc. sold an additional $87 million of its recently priced $25-par series B fixed-rate non-cumulative perpetual preferred stock with a dividend of 6.75%.

The secondary market was led by Athene Holding Ltd.’s new 6.375% series C fixed-rate reset perpetual non-cumulative preference shares, which jumped higher.

Meanwhile, in the finance space, Truist Financial Corp.’s 5.25% series O non-cumulative perpetual preferred stock ended better.

Sector peer Ally Financial Inc.’s 8.125% series 2 fixed-to-floating rate trust preferred securities followed the prevailing trend.

Synchrony Financial’s 5.625% series A fixed-rate non-cumulative perpetual preferred stock gained by the end of the day.

Elsewhere, in utilities, Just Energy Group, Inc.’s 8.5% series A fixed-to-floating rate cumulative redeemable perpetual preferreds rose.

Public Storage prices

In Monday primary activity, Public Storage priced a $500 million offering of $25-par series L cumulative preferred shares with a dividend of 4.625% at par.

There is a $75 million greenshoe.

BofA Securities, Inc., Morgan Stanley & Co. LLC, UBS Securities LLC and Wells Fargo Securities, LLC are the bookrunners.

The preferreds are redeemable on or after June 17, 2025 at par.

Pinnacle’s deal

Also, Pinnacle priced a $500 million offering of $25-par series L cumulative preferred shares with a dividend of 4.625%.

The deal, originally priced at $120 million on May 27, was reopened to sell the 3.8 million shares, supplementing the 5.52 million outstanding.

Keefe, Bruyette & Woods, Inc., J.P. Morgan Securities LLC and Raymond James & Associates, Inc. are the joint bookrunners.

The preferreds are redeemable on or after Sept. 1, 2025 at par. Prior to that, the preferreds are redeemable within 90 days after a regulatory capital treatment event.

Athene jumps

The secondary market was led by retirement name Athene’s new 6.375% series C fixed-rate reset perpetual non-cumulative preference shares, which jumped to higher levels.

The preferreds, trading under the temporary symbol “ATHHL,” were up 20 cents to close at $25.40 on volume of about 1.7 million shares.

On Friday, the preferreds finished flat.

Truist better

Meanwhile, in the finance space, Truist Financial’s 5.25% series O non-cumulative perpetual preferred stock ended in a better position.

The preferreds (NYSE: TFCPrO) improved by 7 cents to close at $25.55 with about 382,000 shares trading.

Sector peer Ally Financial’s 8.125% series 2 fixed-to-floating rate trust preferred securities followed the prevailing trend.

The preferreds (NYSE: ALLYPrA) gained 6 cents to close at $23.96 on volume of about 337,000 shares.

On Friday, the preferreds picked up 29 cents.

Synchrony Financial’s 5.625% series A fixed-rate non-cumulative perpetual preferred stock gained by the end of the day.

The preferreds (NYSE: SYFPrA) moved up 38 cents to close at $22.16 with about 246,000 shares trading.

Just Energy rises

Elsewhere, in utilities, Just Energy’s 8.5% series A fixed-to-floating rate cumulative redeemable perpetual preferreds rose.

The preferreds (NYSE: JEPrA) garnered $2.10 to close at $3.82 on volume of about 229,000 shares.

Indexes up

The Wells Fargo Hybrid & Preferred Securities Financial index wrapped up the session up by 0.48%, higher than the 0.13% rise in early Monday trading.

The iShares US Preferred Stock ETF was up 25 cents to $35.86.

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