Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers F > Headlines for Fortive Corp. > News item |
Morning Commentary: Fortive convertibles continue to dominate, trade rich; Vipshop active
By Abigail W. Adams
Portland, Me., Feb. 21 – The convertible secondary space was active early Thursday with Fortive Corp.’s 0.875% convertible notes due 2022 continuing to dominate activity in the secondary space.
The notes maintained their expansion and were trading around 103.75 with stock down slightly early Thursday.
Fortive stock was $80.38, a decrease of 0.83%, shortly before 11 a.m. ET.
The notes continued to account for the majority of trading activity in the secondary space.
The new paper from Fortive accounted for $58 million of the $103 million on the tape a little over one hour into Thursday’s session.
The activity was not unusual given the $1.25 billion size of the deal with the investment-grade rating of the paper driving demand.
“They’re pretty much always going to trade rich,” a market source said.
The 0.875% notes expanded out of the gate on their market debut Wednesday with the notes expanded 3.5 points dollar-neutral.
While the new paper from Fortive remained in focus, Vipshop Holdings Ltd.’s 1.5% convertible notes due March 15, 2019 were also active as their maturity date approaches.
The notes were changing hands around 99.5 with about $7 million on the tape early in the session, according to a market source.
The trading activity was largely a cash alternative play, the source said.
© 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.