Morning Commentary: SoCal Edison, Compass Diversified add deals to calendar; Maiden paper lists

By Stephanie N. Rotondo

Seattle, June 19 – The preferred stock primary market had two new deals added to the forward calendar early Monday.

Southern California Edison Co.’s SCE Trust VI announced a $200 million offering of series L trust preference shares, with price talk in a 5.125% to 5.25% range, a market source reported.

The company plans to use proceeds to redeem some or all of its 5.625% series F trust preference shares (NYSE: SCEPrF).

Those shares were off 4 cents at mid-morning, trading at $25.15.

J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, RBC Capital Markets and Wells Fargo Securities LLC are running the books.

Meanwhile, Compass Diversified Holdings LLC said it was selling its first issue of preferred stock.

BofA Merrill Lynch and UBS Securities LLC are the joint bookrunners.

Proceeds will be used to pay down debt and for general corporate purposes.

As for recently priced issues, Maiden Holdings Ltd.’s $150 million of 6.7% series D noncumulative preference shares – a deal priced June 8 – began trading on the New York Stock Exchange on Monday.

The ticker symbol is “MHPrD.”

The paper was at $25.32 at mid-morning, up from $25.24 at the open.

The deal was upsized from $100 million, and the yield came on the tight side of the 6.75% price talk.

BofA Merrill Lynch, Morgan Stanley and UBS Securities were the joint bookrunners.

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