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Ready Capital Prices Baby Bond Issue

Ready Capital (RC) has priced their new issue of baby bonds with a high coupon of 9%. The early redemption period starts 12/15/2026 with maturity on 12/15/2029.

2 baby bonds that are currently outstanding from RC are trading with current yields around 5.90% and 6.38% respectively–could be messy for these 2 issues tomorrow.

The pricing term sheet can be read here.

Eagle Point Credit to Sell New Baby Bond Issue

Eagle Point Credit (ECC) has announced they would be selling a new issue of $25/share baby bonds.

ECC is one of the oldest publicly traded holders of collateralized loan obligations (CLOs) and already has numerous issues of term preferreds, perpetual preferreds and baby bonds outstanding which can be seen here.

The preliminary prospectus can be read here.

J noted this (as usual) in the reader alerts just minutes ago. The headlines today included the ECC press release.

Headlines of Interest to Owners of Preferred Stock and Baby Bonds

Below are press releases from companys with preferred stock and/or baby bonds outstanding–or just news of general interest.  Earnings season is pretty much over so we will have slow news days for a month or two.

DTE Energy Board of

DTE Energy Board of Directors declares quarterly dividend

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FTAI Aviation Announces Sale of Offshore Energy Vessels, Continuing Focus on Providing Power for the Aftermarket

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Ready Capital Corporation Announces Public Offering of Senior Notes Due 2029

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Valley National Bank Closes on the Sale of Nearly $1 Billion of Commercial Real Estate Loans to Brookfield Asset Management

View Press Release

Qurate Retail, Inc. Transfers Equity Listing to the Nasdaq Capital Market

View Press Release

Eagle Point Credit Company Inc. Announces Offering of Notes

Job Openings Best the Forecast

As I have noted before (too many times) I believe that employment is key to keeping the economy humming. Odds of seeing a recession when everyone has a job is pretty remote–and folks keep paying their giant credit card bills and house and car payments.

The JOLTs (job openings and labor turnover) report this morning continues to point to high likelihood of the labor market continuing to be relatively strong. The report showed 7.74 million job openings versus the forecast of 7.48 million and last months 7.372 million. Certainly this is way below the peak numbers we saw last year up in the 9-10 million area–but that was inflationary and a somewhat lower number should lessen inflationary risks.

Also released this morning was the Johnson Redbook Index which showed year over year sales growth at retailers of a massive 7.4%–wow!! The optimism of consumers that they will be able to pay those credit cards never ceases to amaze me. Part of my problem is we haven’t had a car payment or credit card bill for years (actually we use our credit cards a lot, but pay them in full each month)–maybe I need to go crazy and boost the economy more—then I can get 10 minutes of a sugar high and years of misery.

Markets are not moving much today–up a little–down a little–just fine with me.