Container Leasing Company Triton International to Sell New Preferred

Large container leasing firm Triton International (TRTN) has announced a new perpetual preferred stock issue.

The issue will have a early call date of 3/15/2025. The issue will be cumulative. It is likely that S&P will rate the issue B+ (non investment grade-speculative)

The issue should trade on the NYSE under TRTN-D when it hits the permanent exchange. There will be OTC Grey market trading, but the ticker has not yet been announced.

The company has 3 issues outstanding already with coupons of 7.375% to 8.5% which can be seen here.

The preliminary prospectus can be read here.

Thanks to mcg and EarlyBird for being on top of this new issue. EarlyBird is hearing coupon talk in the 7% area.

9 thoughts on “Container Leasing Company Triton International to Sell New Preferred”

  1. Thanks for the heads up. I own pieces of the B and C issues, am probably at my max for this issuer.

    1. Curious to compare notes. How does one come to max for a given issuer? Especially these more volatile Shipping / REIT issuers (not mega banks like JPM, WFC tec)?

      Would it be 5% of portfolio? Would it be 7/10% of fixed-income portion of portfolio?

      Of course it does depend on portfolio size – I mean a $50k portfolio is different from $1M or $2m or $5million one. So for sake of this comparison, let us assume $2.5m the official hedge fund number…

      1. mSquare, I didn’t begin this way, but gravitated into setting single-credit cap numbers for issuers graded by credit ratings. This is when I was chasing yield and owned Puerto Rican banks, shippers, unrated insurance companies, small US community banks, etc. I set a 5% of portfolio cap on any one issue. Over time I chopped off the bottom end of the credit scale, ditching all unrated issues and all issues where the parent was below investment grade (2 exceptions). I just felt there wasn’t enough additional return for the risk. I still have a diversified portfolio, 17 issuers, with two of them ~ 10% each, the rest down in the 5-7% of portfolio range, where I’m comfortable – even though that’s a pretty high single-credit max. I’m an insurance guy by background and mitigating risk by spreading my bets around the table and avoiding those that are most risky is pretty ingrained. I had an issuer go broke on me once, so I know it can happen.

        1. Tim W–that issuer going broke was the cost of education. I have never had one go broke, but certainly have gotten expensive lessons over the years.

          1. Yup, it surely was! International Shipbuilding. Got nothing back from the bankruptcy/liquidation/sale.

      2. mSquare,

        Wondering that myself as TRTN-C is the only junk single issue I hold at 1% TLA. I have yet to be burned by a single issuer – hope that is not some rite of passage. (Probably my FNMA preferreds are my riskiest bet.)

        Tomorrow morning, I will add another 1% of TRTN-D. As I used to work in maritime terminal logistics, I “felt” more comfortable with Triton’s line of business. 2% TLA probably would be my max limit for a single issuer that is not investment grade. But I only have 10% TLA in preferreds.

      3. I do hold lots of shipping preferreds. Except for the awful Navio Maritime, NM preferreds. Most shipper Preferreds are fairing okay. I still have large positions of SB-C and SB-D, the smallest of the bulkers but the most honest CEO and his brother, always paying dividends and used his own private company to pay for the new ships and lease back. The worst shipping position was the common stocks of Golar LNG (GMLP). This stock was on the BUY list of Baron’s Mag “new bond king”, Jeff Gundlach (Doubleline Capital) and the 2nd lead of FAST MONEY CNBC, Karen Finerman. Golar Partner (GLNG), which pays just tiny dividends apparently continued to issue more shares of GMLP and finally cut its dividends, to finance quite a few new large vessels. Recently Dividend Channel,, plus someone recommends GMLP on a buy list with pro forma dividend of 18.61%. Since I had approx. $35 K worth of this awful position, I went ahead and bought some more (around 5.5 K worth) of GMLP hoping to average it down some and get my money back in 5 to 7 years or so). BTW, I do NOT recommend GMLP. GMLPP, preferreds, is comfortably above par for now. It has never skipped any dividend payment since its inception. Golar LNP is a large cap unlikely to file for bankruptcy. Apparently the general partner issues. HMLP-A has always been the strongest LNG. GLOP (I have A, B and C) plus Seaspan preferreds and Costamare (CMRE) C, D and E. Over the years, sold some SSW Preferreds and perhaps CMRE too. These two are doing fine to my best knowledge. Bought back some Sparke Electric preferreds after seeing a decent quarter, SPKEP 8.75%. All these are QDI. Lost money for sure on JE-A. Sold them all after seeing that one awful quarter (sell and ask the question later). The divies are suspended along with Michael Karfunkel’s former British partner, MAIDEN holdings, Ltd. (all divvies have been suspended, presumably could be doing LESS bad (better?) according to the latest Q report. These are non cumulative and hence GONE. Still hold some Karfunkel’s delisted preferreds Amtrust Financials plus one baby bond (also delisted: traded with some sold preferreds). These are presumably doing fine, rated by Am Best insurance rater. NGHCZ and NGHCN, National General Holding baby bond and preferreds (non cumulative QDI) are the best of Karfunkel, ran by his son. I held onto these two. No more drama. I hold very few common stocks. No FANS and sold AMD too fast for a few good dinners. So, these are my risky ones balanced by many Bank Preferreds plus ARCC (best of BDC’s), prior Wind Energy (PEGI), BEP (Brookfield renewable), Brookfield eREITS, TOO-E and B, Brookfield (apparently Brookfield is agnostic on energy, be it fossil fuel or Sun and Wind renewable), AY (non Brookfield renewable) and TERF, TerraForm, probably now 100% owned byBIP (Brookfield. I do not own). TERF gapped up 10+% after the purchase for remaining shares by Brookfield. I do not have position on BX (the other giant private equity). I missed the opportunity because of the erratic dividend payment by Schwartzman. I am agnostic on climate vs. fossil, EPD and MMP, after taking huge losses on Rida’s awful midstream PLUS past all bankrupt upstream MLP’s. Small position on ET under water plus EPT-D plus another EPT preferreds (doing better these days). I thank the person on Tim’s website who suggested KRG. Have quite few KRG (just bought more), debt to equity under 6 (certainly no SWAN), SBRA (bought more after intial purchase following Dane Bowler of SA), a little risky but pays nice dividends, KIM, BRX plus AWP, first bought in the worst of time following subscription to Rida Morwa. Then I noticed that it started to trade with huge “discount” bought more. This is an international (mostly European) eREIT. plus WPC (just bought a few more shares, paid too much vs. closing price) eSWAN. Plus too many shares of WPG preferreds (cost basis okay), PEI preferreds plus PEI commons under water for sure). MAC also underwater. I would suggest NEVER gamble with the commons on the Mall trash. Still held on 300 shares of so CBL-D plus small position of CBL bond. CTL was a great stock for its baby bonds and intermediate and long bonds. They are now expensive, I hold quite a few CTL commons and sleep well as long as Jeff Storey (CEO from Level 3 Communication) is in good health.

        1. Oh, thanks to Gridbird and SteveA, I have some good Canadian stocks plus SLMNP (it looked risky at one time), but it went up nicely in response to Fed Chair reducing the rates with 10 Yr Treasuring leveling off or going down.

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