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Category: Dividends

Altera Infrastructure LP Suspends Preferred Distributions

Early today PTrader posted on the Reader Initiated Alerts page that Altura Infrastructure Partners suspended their preferred unit distributions. Thanks for the early post.

The announcement is here.

Altera is controlled by giant Brookfield Business Partners (BBU) which has assets of over $55 billion and one might have assumed that BBU would not let this happen–well think again.

Right now the 3 issues from Altera are trading in the $9.50/shares area–all down around $15/share.

All of these issues are ‘cumulative’, but there is no guarantee that these will be paid anytime soon as the company has struck a deal with their parent (BBU) for debt restructuring that will not allow dividends until certain milestones are met.

Wesco International to Make 1st Juicy Dividend Payment

Wesco International (WCC) which merged with Anixter International earlier his year is about to make their 1st dividend payment on the juicy 10.625% fixed rate reset cumulative preferred on the 30th of the month.

The WCC-A issue went ex-dividend today for around 73 cents–the first payment is for slightly over 3 months.

The company is a giant in the business to business distribution and supply chain business with revenue now in the $17 billion area.

You can be certain there is plenty of risk in Wesco as they are rate B1 by Moodys and BB- by Standard and Poors. You can read S&P’s take on the combined companies.

I only mention this issue because depending on your risk tolerance this may be a reasonable holding. The reset period isn’t until 6/22/2025 so at 10.625% there is plenty of ‘meat on the bone’ yet even though shares closed at $28.30 today.

Disclosure–I hold a position in this issue which I bought in the $26.90 area.