Well the new 6.75% fixed rate preferred from tiny Louisiana banker First Guaranty Bancshares (FGBI) started to trade today.
I wanted a taste of this issue–say 500 shares–not as a hold, but more of a couple week flip for steak dinners (maybe 50 cents/share). Obviously there are many folks that wanted it worst than me. I put bids in at $25.25, $25.55 and $25.75 and while it looked like this should have executed it didn’t.
While it has been fairly clear to everyone that there continues to be a huge chase for yield and these small banks are ‘hot’–for now I simply had to walk away. Not that I couldn’t have made a huge jump in my bid a likely gotten the shares I simply am not chasing a $2.5 billion in asset bank to the moon. Oh well, no doubt another tiny bank will sell some a new preferred issue soon and I can maybe chase that down for ‘steak dinners’.
At this moment I show shares trading at $26.26 on the OTC grey market under ticker FGBIL.